Kerr-Addison's Golden Revival: Gold Candle Unearths High-Grade Ore

TORONTO, ON – February 18, 2026 – Private exploration firm Gold Candle Ltd. has announced significant assay results from its Kerr-Addison project in northern Ontario, breathing new life into one of Canada's most prolific historical gold mines. The findings, which reveal higher-than-expected gold grades and improved continuity, suggest a lucrative second act for the mine, leveraging modern open-pit mining techniques in a district famous for its high-grade underground past.

The new data comes from a 49-hole, 14,100-metre drilling program completed in 2025. The results focus on the Footwall Main Zone, an area adjacent to the existing open-pit resources. Intercepts such as 43.70 metres at 1.45 grams per tonne (g/t) gold and 20.00 metres at a notable 3.42 g/t gold have confirmed mineralization in areas previously modeled as low-grade or waste rock. These results are significant in an industry where open-pit operations can be profitable with grades well below what Kerr-Addison has historically produced underground.

Unlocking New Economic Potential

The latest drilling successfully identified a potential mineralized corridor of three to four stacked lenses spanning approximately 400 by 300 metres. Ten holes returned significant intercepts above a 20 GXM (grade-thickness) threshold, a key metric indicating economic viability. Six of these holes, including one with a 14.48-metre section grading 1.99 g/t, uncovered valuable mineralization where computer models had previously predicted very little.

For an open-pit project, grades above 1.35 g/t are compelling, especially in the current high-price gold environment. The ability to convert material once classified as waste into economic ore fundamentally alters a project's financial outlook. It reduces the stripping ratio—the amount of waste that must be moved to access ore—thereby lowering costs and boosting potential profitability.

Rick Howes, Chief Executive Officer of Gold Candle Ltd., highlighted the importance of these findings in a statement. “We are very pleased with these latest results as they continue to demonstrate the potential for the stacked footwall zones to develop a level of continuity that, with more drilling, should positively impact our mineral resource inventory,” he said. “Further, the conversion of tonnes, that were previously estimated as very low grade or waste, to economic ore is very positive for our eventual operating plans and project economics.”

A Storied Past, A Golden Future

The Kerr-Addison mine is no stranger to success. Located in the heart of the Abitibi Greenstone Belt, one of the most gold-rich geological formations on Earth, the mine was a titan of Canadian industry. Between its opening in 1938 and its closure in 1996, the Kerr-Addison and adjacent Chesterville properties produced over 11 million ounces of gold, making it Canada's fifth-largest historical gold producer. At its peak in 1960, it was the largest gold operation in North America.

However, that production came almost entirely from underground operations, chasing high-grade veins deep beneath the surface at an average recovered grade of about 8.58 g/t. Gold Candle's strategy represents a paradigm shift. The company is using modern exploration technology and a new geological interpretation to target lower-grade, bulk-tonnage gold mineralization near the surface that is amenable to large-scale, cost-effective open-pit mining. This approach, which was not economically or technologically feasible during the mine's original operational life, could unlock millions of ounces left behind.

Navigating the Path to Production

Gold Candle's technical success is amplified by a surging gold market. With prices hovering near an unprecedented $5,000 per ounce in early 2026, driven by central bank buying and geopolitical uncertainty, the economic threshold for mining projects has been radically redefined. Forecasts from major financial institutions project sustained strength, with some analysts predicting gold could push toward $6,000 per ounce, creating powerful tailwinds for development-stage projects.

This favorable market timing is crucial for Gold Candle. The privately-held company, which acquired the project in 2015, is helmed by a team of seasoned mining executives, including renowned resource investor Pierre Lassonde as Executive Chairman. The company has signaled its intent to pursue an Initial Public Offering (IPO) in 2026, and these strong drilling results serve as a powerful proof-of-concept for potential investors. By demonstrating the ability to significantly expand the resource base, Gold Candle is building a compelling case for financing the mine's full-scale redevelopment.

Balancing Gold and Green in McGarry Township

As the project advances, Gold Candle is also navigating its social and environmental responsibilities. The communities of McGarry Township were built around the original Kerr-Addison mine, and a potential revival promises significant economic benefits, including job creation and local investment in a district that has embraced the mining industry's return.

However, the legacy of 20th-century mining includes environmental challenges, such as arsenic contamination and impacts from smelter emissions, which the company acknowledges. Gold Candle has stated its commitment to responsible exploration, including performing remediation work on legacy sites and engaging in transparent dialogue with local communities and Indigenous organizations. The company's approach involves integrating stakeholder feedback and conducting environmental baseline studies to ensure that a new era of mining at Kerr-Addison meets modern standards of sustainability.

With further exploration updates anticipated in the coming months, all eyes are on Gold Candle. The combination of high-grade results, a proven historical resource, a stellar gold market, and an experienced management team has positioned the Kerr-Addison project for a remarkable comeback, potentially adding a significant new chapter to its already legendary history.