As disruptions to the global mineral supply chain continue to mount, Canada’s Marathon copper and palladium project is positioning itself as a critical counterweight.

On Thursday, Generation Mining unveiled an updated feasibility study for the Ontario-based project, highlighting its potential as the provinces’ next producing critical minerals mine and a timely response to geopolitical instability.

With copper and palladium at its core, Marathon is well positioned to address supply challenges of two key metals.

“With copper facing long-term supply constraints and persistent supply risks from the primary palladium producers in Russia and South Africa, the Marathon project is well positioned to support North American and European smelters,” stated CEO Jamie Levy.

Marathon’s advanced permitting and development timeline, he said, also gave the project an edge. “The advanced development and permitting is a key differentiator, which positions us to bring metal to market faster than any other North American copper project not yet in construction.”

The numbers back up the optimism. The updated feasibility study pegs the project’s after-tax net present value (NPV) at $1.07-billion, with a robust internal rate of return (IRR) of 28% and a payback period of 1.9 years, based on three-year trailing average metal prices as of November 1, 2024.

Even at more conservative long-term consensus prices, the project holds strong with an NPV of $876-million and a 24% IRR. At recent spot prices, it delivers an NPV of $749-million and a 21% IRR, with copper and palladium each driving over a third of payable metal revenues.

In its pre-production phase and first three years of operation, the Marathon project is slated to churn out 151-million pounds of payable copper, 720 000 oz of payable palladium, and 156 000 oz of platinum. Over its 13-year mine life, yearly averages are projected at 42-million pounds of copper, 168 000 oz of palladium, and additional platinum, gold, and silver output.

Initial capital costs are estimated at C$992-million, with life-of-mine all-in sustaining costs of $2.05 a copper-equivalent pound or $781 a palladium-equivalent ounce.

Beyond the balance sheet, Marathon promises a broader economic lift. Construction is expected to create more than 800 jobs, while operations will sustain about 400 direct permanent positions in Ontario.