Impressive Results from CYGNUS Metals Ltd’s Strategic Drilling Programme

Golden Eye Shines Bright: Cygnus Metals Reports Outstanding Gold-Copper Results

Cygnus Metals (ASX: CY5, TSXV: CYG) has revealed exceptional high-grade gold and copper intercepts at its Golden Eye prospect within the Chibougamau Copper-Gold Project in Quebec, Canada. The results of Cygnus Metals Ltd's drilling programme highlight the significant potential of this emerging resource prospect, with headline figures including a remarkable 60.8g/t gold equivalent over 0.4m. These findings echo similar success seen in Cygnus Metals' high-grade discoveries at Chibougamau earlier this year.

Stellar Results Highlight Multi-Zone Potential

The latest drilling programme has delivered impressive results from Golden Eye, confirming the presence of multiple mineralised zones with substantial gold and copper content.

The standout intercepts include:

• 7.4m @ 5.7g/t AuEq (4.6g/t Au, 0.9% Cu & 5.6g/t Ag) from 405.6m in hole LDR-25-08

  • Including 3.1m @ 9.6g/t AuEq (7.4g/t Au, 1.6% Cu & 10.0g/t Ag)

• 2.9m @ 10.2g/t AuEq (8.3g/t Au, 1.4% Cu and 3.3g/t Ag) from 463.8m in the same hole

  • Including a spectacular 0.4m @ 60.8g/t AuEq (51.3g/t Au, 7.2% Cu & 18.0g/t Ag) with visible gold

These results build upon previously released intercepts of 3.3m @ 6.6g/t Au (including 2.3m @ 9.1g/t Au) from hole LDR-25-05, with the additional news that visible gold has been observed in other drill holes for which assays remain pending.

Golden Eye: A Strategic Asset with Existing Infrastructure

What makes Golden Eye particularly compelling as a development prospect is its strategic positioning and existing infrastructure advantages. The prospect:

• Has never been mined despite its high-grade nature
• Was last drilled in the early 1990s when gold prices were below US$350/oz (compared to current prices above US$2,300/oz)
• Sits outside the current Mineral Resource estimate, representing pure upside potential
• Has existing dual ramp access within 150m of the mineralisation
• Is located just 3km from Cygnus' central processing plant

These characteristics position Golden Eye as a potentially rapid and cost-effective development opportunity with minimal capital requirements for future production, reminiscent of successful drill results at Apollo Hill which similarly leveraged existing infrastructure for efficient development.

Historic Results Support Resource Potential

The results of Cygnus Metals Ltd's drilling corroborate impressive historic drilling data at Golden Eye, which produced exceptional high-grade results:

The company plans to use the new results alongside compiled historic drill data (77 holes for 21,371m) to complete an initial Mineral Resource Estimate for Golden Eye.

Understanding Gold Equivalents: What Investors Should Know

Gold equivalent (AuEq) values represent the total economic value of all metals in a deposit converted to an equivalent gold grade. For the Golden Eye prospect, this means combining the value of gold, copper, and silver into a single comparable figure.

Cygnus calculates gold equivalents using current metal prices:

• Gold at US$2,350/oz
• Copper at US$8,750/t
• Silver at US$25/oz

The company applies metallurgical recovery factors based on historical production data from the Chibougamau Processing Facility:

• Copper metallurgical recovery: 95%
• Precious metal (gold and silver) metallurgical recovery: 85%

This approach gives investors a clearer picture of the total economic potential of these multi-metal deposits, particularly important for Chibougamau, which has historically produced both gold (3.5Moz) and copper (945,000t).

Future Development Timeline

With the exceptional results of Cygnus Metals Ltd's drilling programme, the company has outlined its next steps:

1. Receive remaining assays from the additional Golden Eye drill holes (expected later this month)
2. Complete an initial Mineral Resource Estimate using new and historic drill data
3. Incorporate Golden Eye into development planning for the broader Chibougamau Project
4. Continue exploration to define the full potential of this high-grade prospect, following the strategy of companies that have identified new gold targets at Side Well Project and other promising locations

Investment Thesis: Why Golden Eye Matters

Golden Eye represents a significant value driver for Cygnus Metals for several compelling reasons:

1. High-grade mineralisation: With gold equivalent grades exceeding 60g/t in spots and consistent zones above 5g/t AuEq, Golden Eye ranks among the highest-grade undeveloped gold-copper prospects in North America.

2. Infrastructure advantage: The existing dual ramp access and proximity to the central processing facility significantly reduce development capital requirements and accelerate potential time to production.

3. Pure resource upside: As Golden Eye sits outside the current resource envelope, any defined resources will add directly to Cygnus' overall project value.

4. Gold price tailwinds: With gold prices near all-time highs, the timing for developing a high-grade gold asset could not be better.

5. Dual commodity exposure: The significant copper content provides investors with exposure to both precious and base metals, offering a natural hedge against metal price volatility.

"Golden Eye is clearly emerging as something special with scope to drive valuable resource growth in the near term," said Cygnus Executive Chairman David Southam. "Given the results to date, which support the historical results, Golden Eye is poised to become a new and additional growth driver for Cygnus at a time of historically high gold prices."

Why Investors Should Follow Cygnus Metals

Cygnus Metals presents a compelling investment opportunity in the mid-tier gold-copper development space for several reasons:

1. The company is rapidly advancing the Chibougamau Copper-Gold Project in Quebec, a historically productive mining district with over 3.5Moz of gold and 945,000t of copper produced.

2. The Golden Eye prospect demonstrates the significant exploration upside beyond the existing resource base, with exceptional high-grade intercepts that remain open at depth.

3. The project benefits from existing infrastructure including processing facilities and underground access, substantially reducing capital requirements and development timelines.

4. Management has outlined a clear pathway to resource definition and potential production, with near-term catalysts including additional drill results from Cognac West Project and other ongoing explorations.

5. The dual exposure to gold and copper provides investors with balanced commodity exposure during a period of strong precious metals prices and growing long-term copper demand.

As Cygnus continues to receive and report assay results from its ongoing drilling programme, investors should watch closely for further confirmation of Golden Eye's potential to become a significant new high-grade resource for Cygnus Metals. This aligns with broader industry growth where companies like Artemis Resources have shown promising results with their gold drilling expansion at Carlow.

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