Orezone lays out a longer, deeper future for Casa Berardi

Casa Berardi Valuation Lands at US$1.05 Billion

Orezone Gold Corporation (ASX:ORE) has set out the financial scale of its newly acquired Casa Berardi mine, forecasting 1.63 million ounces of gold production between 2027 and 2040. The updated life-of-mine plan carries an after-tax NPV at a 5% discount rate of US$1.046 billion under the base-case gold price assumptions, with after-tax free cash flow of US$1.443 billion.

“Section 10,800E, West Mine Geology and Mining Infrastructure.”

The plan forecasts average annual production of 116,457 ounces at an average all-in sustaining cost of US$1,877 per ounce. It assumes 19.53 million tonnes of material will be processed at an average recovery of 83.9%, with annual throughput generally targeted at 1.4 million tonnes.

The headline economics are broadly consistent with September Casa Berardi plan, which outlined the same 14-year mine life, production target, NPV and capital requirement. The new technical report provides the detailed NI 43-101 framework behind those figures, including mine sequencing, resource estimates, processing assumptions and permitting requirements.

Underground Restart Sits at the Centre of the Plan

“Casa Berardi Long Section Showing Open Pits and Planned Underground Stoping Zones.”

Casa Berardi is being repositioned around a larger underground contribution after years in which operations increasingly shifted towards open pits. Orezone plans to keep the West Mine operating from 2027 to 2038 and restart the previously producing East Mine in 2029, with underground production scheduled through 2038.

“Open Pit Mine Layout”

Open pit production will provide the early bridge. The current F160 pit phase is due to finish at the end of 2026, followed by the F134 pit in 2027 and 2028. An F160 expansion is scheduled to resume mill-feed production from late 2028 through 2031, before the Principal and West Mine Crown Pillar pits take over later in the schedule. The operating mine recently delivered record Casa Berardi quarter, producing 19,112 ounces in the third quarter despite a wildfire-related suspension.

“Section 12,330E Principal Area Geology 118, 123, and 124 Zones.”

The resource base comprises 24.74 million tonnes of Measured and Indicated Resources containing 2.528 million ounces of gold, plus 2.798 million tonnes of Inferred Resources containing 395,000 ounces. Underground Measured and Indicated Resources total 1.134 million ounces at 4.81 grams per tonne, while open pit Measured and Indicated Resources total 1.394 million ounces at 2.49 grams per tonne.

Capital, Permitting and Resource Risk Remain Material

Orezone estimates life-of-mine capital expenditure at US$961.6 million, comprising US$401.6 million for underground operations, US$82.7 million for the mill and tailings facilities, and US$477.4 million for open pit mining. The estimate is classified as AACE Class 5, with the report stating a typical low-end variation of minus 20% to minus 50% and a high-end variation of plus 30% to plus 100%.

That range matters because the economic study is not a feasibility study. The PEA includes Inferred Resources, which the report says are too speculative to support Mineral Reserves, and Casa Berardi has no Mineral Reserves reported. The mine plan therefore describes a potential operating pathway rather than a reserve-backed production schedule.

Permitting is another staged dependency. F134 Phase 1 is permitted, while amendments for Phase 2 and the F160 expansion are expected to be submitted in the fourth quarter of 2026. The Principal and WMCP pits will require further permitting and an environmental impact assessment process that the report expects to run for several years. The company also plans to ramp exploration to 100,000 metres a year, targeting resource upgrades, extensions below existing underground zones and new discoveries.