The Latest from McKinley Gold Mine — 2025 Jannuary
Message from Eric
Happy New Year!
2025 marks a decisive turning point for the McKinley Mine Project.
On-site, final preparations for small-scale mining operations are steadily progressing. While we did not experience heavy snowfall like last year, the extreme cold during the year-end holidays caused water pipes to freeze, temporarily rendering some equipment unusable. However, this has not significantly impacted the overall schedule, and we remain on track.
As we enter 2025, gold prices continue to surge, reaching an all-time high of $2,812 per ounce.
This reflects strong demand in the gold market and favorable global economic trends, further elevating the value of the McKinley Mine’s resources. With tailwinds from confirmed vein expansion, sustained high-grade deposits, and a robust gold market, we are focused on ensuring the successful launch of small-scale mining in 2025.
Progress Toward Small-Scale Mining
A. Infrastructure Development & Equipment Installation
Gravity Separation System Status:
- Ball Mill Delivery: The ball mill, essential for initial ore crushing in gravity separation, is scheduled to arrive within 10 weeks (shipped from China; monitoring logistics closely).
- Power Supply: Installing generators and electrical systems for gravity separation operations. Cement foundation work underway.
- Portal Pad Expansion: Optimizing the layout of the portal pad (mine entrance area) to enhance mining efficiency.
- Water Management System: Implementing pipeline installation and a recycling system for sustainable water use.
What is the Role of a Ball Mill?
The ball mill crushes ore to optimal particle size, improving gold recovery efficiency in gravity separation. It is critical for preprocessing fine gold particles and bridges processes like flotation and cyanidation.
B. Drilling Plan & Resource Assessment
- Pre-Drill Program: Confirming vein continuity in designated red zones to determine vein thickness and expansion potential, enabling optimized mining plans.
- High-Grade Priority Strategy: Prioritizing high-profit zones while maintaining proven reserves of 100,000+ ounces.
Latest Geological Findings — Increased Reserves & Reduced Risk
Key Updates
- Grade Verification: Recent sampling confirmed exceptionally high-grade ore at 0.85–1 oz/ton, affirming the mine’s stable high-grade profile.
- Reserve Upward Revision: Expected reserve growth supports upward asset valuation.
- Vein Expansion: Discovery of mineralization zones exceeding initial projections enables multi-year development as a mid-tier mine.
Future Roadmap & Key Milestones
TimelineKey Objectives
Feb–Mar 2025 : Complete pre-drilling to confirm vein continuity; finalize small-scale mining zones.
Apr–May 2025 : Begin small-scale mining, targeting 50 tons/day with phased ramp-up.
Jun–Jul 2025 : Formalize full-scale production plans based on operational data and metallurgical results.
Aug 2025+ : Transition to 200–300 tons/day sustainable operations; conduct additional resource assessments.
Side Story: Former President Donald Trump Reverts “Denali” to “Mount McKinley”
Historical Context of the McKinley Name
Our Idaho-based McKinley Mine is a historic gold mining project dating back to the late 1800s. The mine’s name honors William McKinley, the 25th U.S. President, who played a pivotal role in resolving 1890s mining labor disputes. At the request of Idaho mine owners, President McKinley deployed troops in 1899 to restore regional order. This legacy imbues the McKinley name with deep significance in Idaho’s mining history. The name shares its origin with Denali (formerly Mount McKinley), North America’s highest peak.
From Denali to McKinley — and Back Again
In 1896, during Alaska’s gold rush, a prospector named the peak after presidential candidate William McKinley. The name became official until 2015, when President Obama restored the indigenous Koyukon Athabascan name “Denali” (meaning “The High One” or “The Great One”) to honor Native heritage.
Trump’s Renaming Initiative
On January 20, 2025, President Trump announced the reinstatement of “Mount McKinley” during his inaugural address. This decision reflects admiration for McKinley’s legacy, alignment with Trump’s tariff policies, and opposition to Obama-era reforms.
Gold Market Insight — Gold Targets $3,000
Latest Price Trends
As of the end of January 2025, the price of gold has reached $2,812 per ounce, marking a year-to-date increase of approximately 6.96%. This rise reflects the continuation of a strong upward trend that began in the latter half of 2024. Notably, this price level follows an impressive 53% surge since October 2024.
Major investment banks forecast a 2025 trading range of 2,600to2,600to2,900, with the potential to climb to $3,100 under specific economic scenarios.
Key Drivers of Price Growth
Monetary Policy Impact
The Federal Reserve held rates steady in January amid inflation concerns. With persistent inflation and strong labor data, future policy shifts remain critical to watch.
Geopolitical Factors
President Trump’s new tariffs — 25% on Canada/Mexico, 10% on China, and EU trade restructuring — have heightened market uncertainty, boosting safe-haven gold demand. However, tariffs risk reigniting inflation, potentially prolonging rate hikes.
Institutional Investor Outlook
- JP Morgan: 2025 average price forecast at $2,950
- UBS: Expects prices above $2,900 in 2025
- Citi: Targets $3,000 by Q1 2025, citing weak U.S. jobs data and prolonged high rates as catalysts.
2025 Projections
Current momentum, fueled by global uncertainty and central bank policy shifts, could push gold to $3,288. Short-term bullish trends are expected to persist.
