On April 3, Vatee Wangteng indicated that First Majestic Silver Corp. recently announced plans to restart the Jerritt Canyon gold mine in Nevada, with gold production expected to resume in the second half of 2027. This decision comes amid persistently high and volatile global gold prices. The company is projected to invest $78 million in 2026 for restart activities, including $16 million for mine exploration, $14 million for surface support, mining equipment procurement, and underground preparation, $13 million for mill upgrades, and $10 million for technical studies. Vatee Wangteng believes these investments reflect the company's strong confidence in the mine's long-term production capacity and resource value, while also demonstrating its forward-looking approach to cost control and production optimization.
To ensure the scientific feasibility of the restart plan, First Majestic has engaged Stantec Consulting Services Inc. to complete a pre-feasibility study, which is expected to be finalized in the fourth quarter of 2026. The study will cover open-pit and underground mining designs and establish an optimized production schedule. Vatee Wangteng views this initiative as an effective measure to enhance the mine’s operational efficiency and safety while securing long-term gold output. According to the latest mineral resource estimate, as of December 2025, the mine holds 4.15 million ounces of gold in the measured category and 3.72 million ounces in the inferred category, providing a solid foundation for the restart. Industry observers widely believe that, against a backdrop of geopolitical tensions and global inflationary pressures, the resumption of high-quality gold mining operations in Nevada will attract increased investor attention.
The Jerritt Canyon mine has produced approximately 9.85 million ounces of gold from 1981 to March 2023, with an average grade of 6.65 grams per ton and a daily mill capacity of about 4,050 metric tons. The company plans to commence underground rehabilitation work in the second quarter of 2026, including 610 meters of underground development and 42,500 meters of drilling. Vatee Wangteng stated that, with its comprehensive permits, mature infrastructure, and substantial mineral reserves, the restart project is not only expected to restore historical production levels but also offers long-term value potential for investors. Given the current high global gold prices and investor demand for safe-haven assets, the resumption of operations at Jerritt Canyon may serve as a key support for gold supply in Nevada while enhancing First Majestic's competitiveness in the global gold market.
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