What you need to know: • Canagold is advancing one of the highest-grade Canadian gold deposits with potential to further enhance the project with antimony. • CCM published a highly economic Feasibility Study on the past producing New Polaris underground project in 2025. • The Company is finalizing its EA application and continues to progress through permitting with community consultation well advanced. • The Feasibility Study depicts an after-tax NPV5% of C$793M and an IRR of 47.3% (at a now conservative gold price of $3,300/oz). • We value CCM at $0.83/share (~C$1.20) based on 0.4x our NAV. Canagold Resources Ltd. (CCM:TSX, CRCUF:OTC) is a development company advancing the high-grade underground New Polaris Gold-Antimony Project in northern BC. New Polaris is host to a ~10 g/t gold resource, most of which is reserves, and is well into the project permitting and community agreement phase following the publication of a Feasibility Study (FS) in 2025. The FS depicted a profitable operation yielding a project NPV5% of C$793M and 47.3% IRR at a gold price of $3,300/oz. Notably, this comes from a modest capex of just C$250M. CCM benefits from a large, supporting shareholder in Sun Valley, which holds a ~53% stake and meaningfully reduces financing risk going forward. The Company is progressing with permitting and community engagement, positioning itself for a construction decision in 2028. We are initiating coverage on Canagold Resources with a BUY rating and target price of C$1.20/share. Investment Thesis Summary Super High-Grade Reserves. The New Polaris project hosts a reserve grade of 9.94 g/t Au, standing out among gold deposits globally. These grades translate to an average annual production of ~100Koz in full production years, and the project is situated on a past-producing site in an established mining region within BC. Highly Profitable Economics. The 2025 Feasibility Study outlined a low initial capex of C$250M, and strong operating costs with an average LOM AISC of $1,247/oz, yielding an NPV5% of C$425M and IRR of 31% at $2,500/oz Au. This improves to C$793M and 47% at a gold price of $3,300/oz. At spot prices, the project has a potential NPV5% over C$1B (more details below). Antimony Upside. The current mine plan includes over 5Kt of antimony production; however, potential revenue is not included in the economics of the FS (or our valuation), providing further upside. Test work is underway to evaluate processing options for a saleable antimony product, which we expect can significantly enhance project economics. Large and Supportive Majority Owner. Sun Valley Investments holds ~53% ownership in the Company and has fully integrated refining processes in place, well-positioning CCM to optimize processing options. Sun Valley’s supportive interest in the company further reduces financing risk in our view, particularly given the low capital intensity of the project, with an NPV5% to capex of 2.3x on our estimates. Significantly Undervalued. CCM trades at 0.2x our NAV, well below peers, which average ~0.4x. We see a clear path for the stock to re-rate in line with peers as permitting and community engagement advance, further de-risking the project.