Generation Mining nears two-year high on Ontario gov’t endorsement

Generation Mining (TSX: GENM) shares soared to a two-year high on Friday as it spotlighted the strong support given to its Marathon copper-palladium project by the Ontario government.Located 300 km east of Thunder Bay, northwestern Ontario, Marathon represents Canada’s next shovel-ready critical minerals project after receiving its final construction permit last month. Once in operation, it would be one of North America’s few palladium producers and a key producer of copper. Both metals are essential ingredients in the manufacturing of hybrid and electric vehicles.Shortly after the permitting milestone, Generation received a letter from an unnamed Canadian financial institution stating its interest in lending up to C$200 million for the Marathon project’s construction.On Friday, several ministers from the Ontario government gave further endorsement by issuing an open letter to Canada’s Minister of Energy and Natural Resources, Tim Hodgson, for federal support for what would be a minerals project “critical to building a secure, domestic supply chain.”Generation Mining surged on the news, rising over 22% to C$0.44 apiece to trade at its highest since July 2023. The company’s market capitalization is estimated at C$99.2 million.Billion-dollar projectAccording to a feasibility study released in March 2025, the Marathon mine is expected to produce 168,000 oz. of palladium and 42 million lb. of copper, plus 38,000 oz. of platinum, 12,000 oz. of gold and 240,000 oz. of silver, on an annual basis over a 13-year span.Based on the improved output projections over prior studies, the project would have an after-tax net present value of more than C$1 billion, an internal rate of return of 28% and a 1.9-year payback period, the report showed. “Now that we are fully permitted for construction, the last hurdle is bringing together the necessary funding to build our mine and commence production,” Generation Mining CEO Jamie Levy stated in Friday’s press release.As calculated in the feasibility study, the project’s construction is expected to cost around $990 million. The company currently has access to C$200 million in financing through a metals streaming agreement with Wheaton Precious Metals (TSX: WPM).Weiter zum vollständigen Artikel bei Mining.com Weiter zum vollständigen Artikel bei Mining.com