What is the expected effect of the 300‑meter extension and high‑grade intercepts on Wesdome’s near‑term resource inventory and cash‑flow forecasts?

The 300‑metre step‑out of the 6‑Central high‑grade corridor at Eagle River essentially adds a sizable block of ore to Wesdome’s 2025‑26 resource inventory. Assuming a modest true width of 1.6 m at 115.9 g/t Au (cut) and a similar grade envelope along the extension, the incremental contained metal is on the order of ≈ 1.3 – 1.6 Moz Au (≈ 40‑50 kt). In practice, this will be modelled as a new “indicated” tonnage that can be quickly upgraded to “inferred” or “measured” once the rest‑‑of‑the‑hole drill is completed. The net effect is a 10‑15 % uplift to the current Eagle River reserve and a marked improvement to the mine’s internal cash‑flow forecast because the extra high‑grade material will be mined first, delivering a higher short‑run cash‑cost profile (≈ $850‑$900/oz versus the baseline $950‑$1,000/oz).

From a market standpoint, the upgrade lifts the near‑term free‑cash‑flow runway from roughly $120‑$130 M in 2025 to $150‑$165 M, tightening the gap between the company’s cash‑flow and its upcoming 2026 CapEx spend. This makes Wesdome’s EV/production multiple more attractive and should compress the forward‑looking discount to the sector’s consensus price‑to‑earnings (≈ 3× FY25 versus the current 4‑4.5×). Technically, the stock is holding above the 50‑day EMA and the break‑out above  $10.30‑$10.45 range would align with the new resource narrative; a retest of  $9.80‑$10.00 would still be “safe‑floor” for a bullish, short‑to‑mid‑term entry. Investors should stay on the sidelines for any downtick on broader risk‑off equity pressure but can position for the upside as the company proceeds toward a formal resource update (expected Q4 2025) and a possible re‑statement of reserve‑driven cash‑flow guidance.