Cariboo Gold Project Feasibility Study: C$943M NPV, 22.1% IRR
Osisko Development Corp.'s Cariboo Gold Project in British Columbia, Canada has a Feasibility Study outlining an after-tax NPV of C$943M, an after-tax IRR of 22.1%, and initial capital of C$881M. The mine plan runs 10 years at about 190 koz Au per year.
Osisko Development Corp.'s Cariboo Gold Project has reported Feasibility Study results for the gold project in British Columbia, Canada. The study headlines an after-tax net present value of C$943M at a 5% discount rate. It reflects Osisko Development Corp.'s (ODV.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is C$943M using a 5% discount rate. After-tax IRR is 22.1%. Initial capital expenditure is estimated at C$881M. All-in sustaining costs are pegged at 1157 USD/oz. Economics are based on US$2,400/oz (base case); spot US$4,200/oz.
Production and mine plan. The project envisions an underground operation. Life of mine is 10 years. Average annual production is approximately 190 koz Au. Average head grade is 3.62 g/t Au. Metallurgical recovery averages 92.6%.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Osisko Development Corp.'s technical disclosures and reflect the most recent Feasibility Study on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.
Reserves & Resources
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Probable | 17,815 kt | 3.62 g/t Au | 2,071 koz Au |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured | 47 kt | 5.06 g/t Au | 8 koz Au |
| Indicated | 17,332 kt | 2.88 g/t Au | 1,604 koz Au |
| Measured & Indicated | 17,380 kt | 2.88 g/t Au | 1,612 koz Au |
| Inferred | 18,774 kt | 3.09 g/t Au | 1,864 koz Au |
Our Analysis
The 22.1% after-tax IRR lands in the bottom quartile of tracked gold peers and sits only modestly above the practical financing hurdle for a single-asset junior. That is a passable but unexciting return. The 5% discount rate is a clear tell: it flatters the headline NPV, as the low end of convention inflates long-dated cash flows. At a more conservative rate, the NPV would compress meaningfully.
The NPV-to-market-cap ratio is roughly 0.9x, which cuts both ways. It suggests the market is not pricing in full project value, but it also signals skepticism on financing risk: initial capex of C$881M is 93% of NPV and nearly the size of the company itself, implying substantial dilution risk. British Columbia is a stable jurisdiction, but permitting timelines for new mines remain a watch-item. The study’s US$2,400/oz gold price sits well below the current spot of US$4,088.50/oz, so returns are likely understated. The single most important risk is funding the capex without severe equity dilution.
Our take, benchmarked against the project economics in the Mining Stocks database. Figures are estimates drawn from company technical reports — not investment advice; always verify against the source filing.