Nord Precious Metals Mining Inc. (TSXV: NTH, OTCQB: NPMMF, FSE: QN3) has announced its support for the Carney government's proposed Productivity Mega Deduction, citing potential benefits as the company advances engineering and permitting for its Gowganda Silver Tailings Project in Ontario. The proposed federal measures, if enacted, would allow permanent 100% immediate expensing of eligible equipment acquired on or after September 15, 2026. Nord is currently defining the mineral-processing machinery and water systems required to establish a silver-recovery operation on historical tailings already at surface. Investors may be watching how the proposed tax measures, once legislated, could affect the project's capital cost calculations.

Key Points

  • Nord Precious Metals Mining Inc. (TSXV: NTH, OTCQB: NPMMF, FSE: QN3)
  • Nord welcomes Canada's proposed Productivity Mega Deduction as engineering and permitting for the Gowganda Silver Tailings Project progress
  • Nord holds C$29.925 million in consolidated non-capital tax-loss carryforwards at December 31, 2025, expiring between 2026 and 2045, with no related deferred tax asset recognised
  • The proposed tax measures had not been enacted as of September 26, 2026; eligibility for Nord's expenditures has not been established

Federal Tax Proposal and Its Potential Relevance to Gowganda

The Carney government's proposed Productivity Mega Deduction would permanently allow a 100% deduction for a broad range of eligible equipment acquired on or after September 15, 2026, generally in the year it becomes available for use. Qualifying Canadian development expenses incurred from that date would also become fully deductible. Nord identifies mineral-processing machinery and water-supply, recycling, and treatment systems as the clearest potential application for the Gowganda project. The company notes, however, that the proposal does not establish that Nord's tailings expenditures qualify, and the draft legislative proposals had not been enacted as of September 26, 2026.

Gowganda Engineering and Permitting Milestones

Nord's September 22 engineering and permitting update reported revised process-design parameters, mass and water balances, and plans to draw process water from underground mines. This followed a September 15 resource update that provided an updated mineral resource estimate to support ongoing technical work. The company states it is coordinating a recovery-permit programme alongside separate water-taking and environmental approvals. Commercial recovery remains subject to further technical and economic work, financing, and receipt of necessary approvals, and the current programme does not constitute a production decision.

Nord's Existing Tax Position and Legislative Uncertainty

Nord's audited 2025 financial statements disclose C$29.925 million in consolidated non-capital tax-loss carryforwards at December 31, 2025, expiring between 2026 and 2045, with no related deferred tax asset recognised. The company cautions that available losses may limit the near-term cash benefit of faster deductions under the proposed measures. Any benefit ultimately depends on final legislation, qualifying expenditures, and Nord's future tax position. The full consolidated loss balance, the release states, should not be assumed available against Gowganda income due to entity-specific tax rules.