Magna Mining has approved the restart of its fully permitted Levack Mine in Ontario, Canada, following completion of a Preliminary Economic Assessment that outlines 7.3 years of commercial production and estimated initial capital requirements of C$70.1 million.
The PEA outlines average annual payable production of approximately 36.8 million lb of copper-equivalent over the commercial production period, with output comprising nickel, copper and precious metals. Magna is targeting the start of commercial production in mid-2028.
The study estimates an after-tax NPV at a 7% discount rate of C$227.0 million, an after-tax IRR of 92.4%, and a payback period of 0.6 years under the base-case assumptions used in the PEA.
The development plan involves restarting the existing underground operation and utilizing established mine infrastructure. Following board approval, Magna plans to advance detailed engineering, underground development and other activities required to support the proposed restart schedule.
The PEA includes approximately 2.1 million short tons of Inferred Mineral Resources. Magna cautioned that the assessment is preliminary in nature and that the restart decision was not based on a feasibility study of Mineral Reserves demonstrating economic and technical viability.
The board approval moves Levack from technical evaluation toward restart execution, with commercial production targeted for mid-2028 and initial capital estimated at C$70.1 million. The strong PEA economics indicate potentially attractive project returns under the study assumptions, but the inclusion of Inferred Mineral Resources and the absence of a feasibility-level reserve case mean execution and economic uncertainty remain material. Attention will now turn to detailed engineering, underground development and capital deployment as Magna advances toward the planned restart.
