Name of the Project
Mont Sorcier iron and vanadium project.

Location
The project is located near Chibougamau, in Quebec, Canada.

Project Owner/s
Cerrado Gold, through its wholly owned subsidiary Voyager Metals.

Project Description
The 100%-owned magnetite iron and vanadium project is being advanced as a high-purity, direct-reduced-iron-grade iron project. 

The bankable feasibility study is assessing an eight-million-tonne-a-year concentrate operation developed in two four-million-tonne-a-year phases, compared with the five-million-tonne-a-year operation evaluated in the 2022 PEA.

The project hosts 678.5-million tonnes of indicated resources and 546.6-million tonnes of inferred resources. It benefits from existing road, rail and deep-water port access, skilled labour and low-cost hydroelectric power.

Current metallurgical testwork supports the production of high-purity concentrate grading about 67% iron. The BFS is also reviewing the trade-off between starting production at 65% iron and the planned 67% product to determine whether a simplified flowsheet and higher weight recovery could reduce capital and operating costs.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The 2022 PEA estimated an after-tax net present value, at an 8% discount rate, of $1.6-billion and an internal rate of return of 43%.

Capital Expenditure
The 2022 PEA estimated initial capital expenditure at $574-million. Capital and operating cost estimates are being reviewed as part of the BFS optimisation programme.

Planned Start/End Date
The BFS completion date has been extended pending completion of the optimisation work and a targeted drilling programme. The environmental- and social-impact assessment is expected to be submitted in the second quarter of 2027. Permits could be granted at the end of 2028, which could allow for construction to start at the end of the first quarter of 2029.

Latest Developments
Cerrado Gold has extended the completion date of the Mont Sorcier BFS to incorporate optimisation and trade-off opportunities identified during the study.

The main opportunity involves a targeted definition drilling programme planned for the third quarter of 2026 to convert a modest amount of inferred resources east of the planned pit to measured resources. The shallower material could reduce stripping and tailings-management costs over the mine life.

Other work will review the mine plan, tailings-storage construction, project infrastructure, capital and operating costs, and the relative economics of producing 65% or 67% iron concentrate. Cerrado does not expect the optimisation programme to materially affect the overall project timeline, which is driven by the environmental assessment and permitting process.

Key Contracts, Suppliers and Consultants
DRA Global (bankable feasibility study); and Voyager Metals, a wholly owned subsidiary of Cerrado Gold (project and BFS lead).

Contact Details for Project Information
Cerrado Gold VP – investor relations Mike McAllister, tel +1 647 805 5662.