Cygnus Metals Unveils 78% Resource Surge at Chibougamau, Eyes Q1 2026 PEA
Cygnus Metals reports a substantial 78% increase in Measured and Indicated resources at its Chibougamau Copper-Gold Project, including a maiden resource for the Golden Eye deposit, setting the stage for an updated economic study in early 2026.
- 78% increase in Measured and Indicated Mineral Resources to 6.4 Mt at 3.0% CuEq
- Initial resource estimate for Golden Eye deposit with high-grade gold equivalent grades
- Updated Preliminary Economic Assessment scheduled for Q1 2026 reflecting improved commodity prices
- Ongoing drilling campaigns targeting new high-grade zones near historic Cedar Bay mine
- Strong cash position of A$18.3 million following recent capital raising
Resource Expansion at Chibougamau
Cygnus Metals Limited has announced a significant upgrade to its Chibougamau Copper-Gold Project in Quebec, Canada, reporting a 78% increase in Measured and Indicated Mineral Resources. The updated resource now stands at 6.4 million tonnes grading 3.0% copper equivalent, translating to 193,000 tonnes of copper equivalent metal. Inferred resources also grew to 8.5 million tonnes at 3.5% copper equivalent. This expansion includes an initial resource estimate for the newly defined Golden Eye deposit, which boasts high-grade gold equivalent grades of 5.6 g/t in the Indicated category and 4.6 g/t in the Inferred category.
The resource update encompasses multiple deposits within a 60-kilometre radius of Cygnus’ existing processing facility, including Corner Bay, Cedar Bay, Devlin, and Joe Mann. The company attributes this growth to extensive drilling campaigns completed since acquiring Doré Copper earlier this year, with over 17,000 metres drilled in 2025 alone.
Strategic Implications and Economic Outlook
This resource increase provides a robust platform for Cygnus to advance its economic studies, with an updated Preliminary Economic Assessment (PEA) underway and expected in the first quarter of 2026. The forthcoming PEA will incorporate the expanded resource base, updated commodity prices, particularly the more than doubling of gold prices since the previous 2022 study, and the inclusion of silver, which was previously excluded. These factors are anticipated to materially enhance the project’s economics.
Cygnus’ Executive Chair, David Southam, highlighted the strategic positioning of the project, noting its high-grade nature, existing infrastructure, and location within a mining-friendly jurisdiction. The proximity to the historic Cedar Bay mine, which produced significant quantities of gold and copper before its closure in 1990, underscores the potential for further resource growth. Drilling is actively ongoing near Cedar Bay, with assays pending, as the company seeks to delineate additional high-grade mineralisation.
Exploration Innovation and Community Engagement
Cygnus continues to leverage an AI-driven approach to compile and interpret historic drilling data, which has been instrumental in identifying new targets such as Golden Eye and refining exploration strategies around Cedar Bay. This innovative methodology is helping to unlock value from legacy data that had not been fully exploited with modern technology.
Alongside exploration activities, Cygnus maintains active engagement with local First Nations and community stakeholders, supporting environmental and social impact assessments required for permitting. Baseline environmental studies have been completed in key areas, demonstrating the company’s commitment to responsible development.
Financial Position and Outlook
Financially, Cygnus ended the quarter with a solid cash balance of A$18.3 million, following a capital raising earlier in the year that secured A$18.3 million. This funding underpins ongoing exploration and development activities, including the upcoming PEA and continued drilling campaigns. No significant exploration activity was reported on the company’s James Bay lithium projects or Australian tenements during the quarter, allowing focus on the core Chibougamau assets.
With a strengthened resource base, advancing economic studies, and a clear strategy to expand high-grade mineralisation, Cygnus Metals is positioning itself as a notable player in the copper-gold sector amid rising commodity prices and increased market interest in critical minerals.
Bottom Line?
As Cygnus Metals prepares its updated economic assessment, investors will be watching closely for how the expanded resource and rising metals prices translate into project value.
Questions in the middle?
- How will the updated PEA reflect the impact of higher commodity prices and inclusion of silver on project economics?
- What are the expected timelines and results for ongoing drilling near the historic Cedar Bay mine?
- Could Cygnus’ AI-driven exploration approach uncover further high-grade targets within the Chibougamau district?