⚠️ PAID-FOR CONTENT

Borealis Mining is a Nevada-focused gold company with three assets: the Borealis Mine (near Hawthorne, Nevada), currently in early-stage production; the Sandman gold project (Humboldt County, approximately 12 miles northwest of Winnemucca, Nevada), at the PEA stage; and the Big Balds project (early-stage exploration, adjacent to Kinross Gold’s Bald Mountain mine). This conversation covered BOGO’s Q2 financial results, the updated PEA for Sandman, early mine production progress at Borealis, and the company’s M&A strategy.

TL;DR

Borealis closed a C$23 million bought deal at C$1.50/share in January and reported US$21 million in cash (roughly C$30 million) plus approximately US$5 million in ore inventory as of Q2. The Sandman PEA (February 2026) shows a post-tax NPV of US$203 million at a 6% discount rate and US$2,600/oz gold, with a 105% IRR and an initial capex of approximately US$36.5 million. The Borealis Mine is producing gold from historic stockpile material, but the first full quarter of revenue from newly blasted pit rock won’t show up until Q3 of their fiscal year (ending October 31, 2026). No new equity raise is anticipated unless an M&A deal requires a cash component. Full annual production guidance is expected for fiscal year 2027 (starting August 1, 2026).

What have they done for shareholders lately?

The company published an updated Sandman PEA in February 2026 and filed Q2 financial results a few days before this interview. At Borealis, the first blast of fresh pit material happened around January 23, 2026, but that was too late to contribute revenue in Q2 (quarter ended January 31). The company moved approximately 602,000 tonnes of total material during the period, though only around 45,000 tonnes had been crushed due to a contractor switch — the previous crushing contractor was replaced by a new one, who rebuilt and upgraded the crusher. Crushing performance has since improved, with a record single-day throughput of 6,800 tonnes recorded recently. The company also completed a full staff build-out to over 30 people plus contractors, and has grown to four dedicated exploration geologists.

How much money do they have and what are they spending it on?

As of the Q2 filing (quarter ended January 31, 2026), Borealis holds approximately US$21 million in cash (roughly C$30 million) and approximately US$5 million in ore inventory, for a combined US$26 million in liquid and near-liquid assets. The C$23 million bought deal closed in January at C$1.50/share and brought shares outstanding to approximately 146 million. Of the C$23 million raise (treated as a static envelope for planning purposes), roughly C$10–12 million is earmarked for drilling and exploration across Sandman, Big Balds, and Borealis. Around C$6 million was allocated for mining equipment at Borealis (a crusher, loader, dozer, and heap leach pad support gear), but this spend has not been committed yet because management is waiting to confirm whether labour is available to operate the equipment before pulling the trigger, with a decision expected within one to two months. The remainder is earmarked for general and administrative costs, permitting advancement, marketing, M&A-related work, and site visits. The company does not anticipate raising additional equity in 2026 unless a significant M&A transaction requires a cash component.

Upcoming catalysts

Operationaly, First Q3 production results (fiscal year ends July 31, 2026) will be the first quarter showing meaningful revenue from fresh pit ore at Borealis, and CEO Malcolm described the fiscal year-end (Q4) quarter as the most meaningful benchmark. An exploration update covering targets at Sandman, Big Balds, and Borealis is expected by end of April 2026. Column leach metallurgical test results for Sandman are targeted for summer to late-summer 2026. A record of decision on whether Sandman permitting qualifies for the simpler Environmental Assessment (EA) pathway, rather than the more complex Environmental Impact Study (EIS), is expected following planned meetings with Nevada regulatory bodies in April and May 2026.

Corporately, Kelly told me his board expects at least one M&A transaction to be completed in 2026. The company is actively hiring a VP of Corporate Development to accelerate that process. A full production guidance announcement (for fiscal year 2027, starting August 1, 2026) is expected around that transition point. A formal permitting submission for Sandman is targeted for 2026, with construction potentially starting in 2027 and running into 2028.

Risks

The Borealis Mine is operating without a feasibility study, which means there is no publicly available benchmark to judge operational efficiency against. CEO Kelly Malcolm acknowledged this directly and said the company expects to begin reporting standard production metrics (all-in sustaining costs, total cash costs) starting with fiscal 2027 guidance. Crusher performance and labour availability in the small community near Hawthorne remain operational variables and the company held off committing C$6 million in equipment spend for exactly that reason. On Sandman, the metallurgical behaviour of the fresh (non-oxidized) material on a heap leach pad is the main technical open question, there is precedent in Nevada for fresh sulphide material acidifying pads, and while Malcolm says this is not expected to be an issue here, additional test work is still needed to confirm it. Permitting timelines for Sandman are outside the company’s control, and the classification (EA vs. EIS) won’t be known until regulatory meetings take place over the next month or two. The C$6 million equipment purchase decision at Borealis remains unresolved and depends on a staffing assessment over the next one to two months.

Borealis Mining CEO Interview

VERY IMPORTANT WARNING

Please note that this company has paid Resource Talks for the creation of this content. This website is a business that charges for the creation and publication of content. This means there will always be a potential conflict of interest which means you can never rely on anything said herein.

By consuming this content, you acknowledge that Resource Talks and/or its affiliates and/or their personnel may own, have owned, or will own interests in and/or may have a business relationship with some or all companies/entities mentioned/featured in this publication. You further acknowledge that entities which may be referenced or featured in this publication or their related parties may hold an interest in Resource Talks or its affiliates, which may create further conflict of interest.

The information provided herein is general & impersonal in nature and meant for entertainment purposes only. The reader acknowledges and agrees that the information does not constitute a solicitation of an offer to buy or sell any security or instrument or to participate in any trading strategy. The author is not a licensed investment advisor. He is just another talking head on the internet. He might own shares of companies mentioned in this publication. Always assume he doesn’t know much more than a potato does. The mining & exploration space is among the riskiest sectors to invest in. The risk of anything mentioned in this publication is 100% loss of capital. If you don’t read the official documents provided by the company on http://www.SedarPlus.ca, you will lose all of your money.