Billion-Dollar PEA Ignites Rally in Junior Gold Stock

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Tuesday, July 21, 2026

After several months of consolidation following the powerful rally that peaked in early 2026, gold appears to be undergoing a healthy bottoming process. More importantly, despite the recent pullback, the precious metal remains only modestly below its all-time highs. With long-term fundamentals continuing to support higher gold prices, the environment remains favorable for companies advancing quality gold projects.

That backdrop makes this an opportune time for one junior miner to unveil the results of its Preliminary Economic Assessment (PEA). Investors have responded enthusiastically to the announcement, sending the company's shares sharply higher following the release of its robust economic study.

As mentioned, this morning Getchell Gold Corp. (CSE: GTCH) (OTCQB: GGLDF) released the results of an independent Preliminary Economic Assessment (PEA) for its wholly owned Fondaway Canyon Gold Project in Nevada, outlining a potentially high-value open-pit mining operation. Based on currently defined resources within the project's Central Area, the study envisions a conventional 12,000-tonne-per-day milling operation with an initial mine life of approximately 10 years. The PEA estimates a pre-tax net present value (NPV) of US$1.0 billion and an after-tax NPV of US$905 million, assuming a gold price of US$3,200 per ounce.

The assessment projects total recovered gold production of approximately 1.52 million ounces over the life of the mine, averaging roughly 150,000 ounces annually. Initial capital costs are estimated at US$265 million, with a projected pre-tax payback period of just 1.5 years. Operating metrics include an average mined grade of 1.38 g/t gold, an estimated gold recovery rate of 80%, and life-of-mine operating costs of approximately US$1,373 per ounce.

Compared to the company's 2025 PEA, the updated study reflects meaningful improvements, including a 28% increase in contained gold ounces and average annual production, as well as more than a 60% increase in the project's base-case NPV. The enhanced economics incorporate an updated mineral resource estimate completed earlier this year and additional metallurgical testing. Management also noted that the PEA covers only a portion of the 7-kilometre gold corridor, leaving substantial exploration upside as the deposit remains open along strike and at depth.

"This PEA readily demonstrates the potential for a robust economic open pit mining operation producing 150,000 ounces of gold per year.  This would likely place Fondaway Canyon in the top 10 mining operations in Nevada, an eminent threshold as wholly impressive as it sounds.  Moreover, the mineralization remains open for expansion with continued drilling success aiming to further enhance the mine model and extend the operation's longevity." stated Mike Sieb, President.

Shares of GTCH are currently up 39.13% at $0.32, while U.S. listed shares (GGLDF) are trading up 25.33% at $0.2088 in mid-morning trading.

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