Cuiú Cuiú - Stage 1 Gold-in-Oxide Heap Leach PFS: $74M NPV, 78% IRR
Cabral Gold Inc.'s Cuiú Cuiú - Stage 1 Gold-in-Oxide Heap Leach in Brazil (Tapajós Gold Province, Pará) has a Pre-Feasibility Study (PFS) outlining an after-tax NPV of $74M, an after-tax IRR of 78%, and initial capital of $38M. The mine plan runs 6.2 years at about 25000 oz Au (initial 2 years) per year.
Cabral Gold Inc.'s Cuiú Cuiú - Stage 1 Gold-in-Oxide Heap Leach has reported Pre-Feasibility Study (PFS) results for the gold project in Brazil (Tapajós Gold Province, Pará). The study headlines an after-tax net present value of $74M at a 5% discount rate. It reflects Cabral Gold Inc.'s (CBR.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is $74M using a 5% discount rate. After-tax IRR is 78%. Initial capital expenditure is estimated at $38M, with life-of-mine sustaining capital of $8M. The study models a payback period of 0.833 years. All-in sustaining costs are pegged at 1210 USD/oz. Economics are based on Base case gold price of US$2,500/oz (low case $2,250/oz, high case $3,000/oz, upside $3,500/oz).
Production and mine plan. The project envisions an open-pit (heap leach, free digging; no drilling/blasting) operation. Life of mine is 6.2 years. Average annual production is approximately 25000 oz Au (initial 2 years). Average head grade is 0.65 g/t Au (LOM mined grade). Metallurgical recovery averages 87.8%. The open-pit strip ratio is 0.78.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Cabral Gold Inc.'s technical disclosures and reflect the most recent PFS 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 | 6,178,000 t | 0.65 g/t Au | 128,903 oz |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Indicated | 13,557,164 t | 0.500 g/t Au | 216,182 oz |
| Inferred | 6,398,745 t | 0.343 g/t Au | 70,569 oz |
Our Analysis
- IRR after-tax
- 78%
higher than 87% of 115 projects we track
- NPV after-tax
- $74M
higher than 12% of 153 projects we track
- Initial capex
- $38M
51% of NPV
costlier than 16% of 149 projects we track
- Payback
- 0.8yrs
slower than 4% of 96 projects we track
- Mine life
- 6.2yrs
- Discount rate
- 5%
- Study price assumption
- Base case gold price of US$2,500/oz (low case $2,250/oz, high case $3,000/oz, upside $3,500/oz)
- Spot gold today
- $4,424.90/oz
Ranked against the 115 gold projects we track, this one's 78% after-tax IRR sits in the top quartile, above 87% of that peer set, and its 0.8-year payback is faster than 96% of the 96 projects we hold payback data for. That combination, high return and rapid capital recovery, is what an investor is actually buying here. But the peer comparison cuts the other way on scale: the after-tax NPV of $74M ranks above only 12% of the 153 gold projects we track. So this is a high-efficiency, small-absolute-value asset, not a company-maker on the numbers alone.
The jurisdiction is Brazil's Tapajós Gold Province in Pará, a long-established gold district, which is a genuine quality signal and helps explain why the returns clear the bar. The constraint that matters most is capital intensity and funding. Initial capex of $38M is 51% of NPV, moderately capital-intensive, though lower than 84% of the 149 peers we track. Against the company's US$392M market cap, the build is small, and that is the sharpest funding-risk signal available: a company of this size can finance a $38M build without the dilution that would gut the equity story. The NPV itself is roughly 0.2x market cap, well below it, which can mean the asset is underappreciated or that the market is discounting something, execution, jurisdiction or the short 6.2-year mine life.
Two things temper the headline. The study is a PFS, narrowing estimates to roughly a plus or minus 25% band but not yet a build decision, so the numbers carry more uncertainty than a feasibility study would. And the base case assumes US$2,500/oz gold against a live spot of $4,424.90/oz, so the study is running well below the current market, which leaves genuine upside if spot holds. This is one of 3 projects the company tracks, so it is not a single-asset bet. The question that decides it: can a 6.2-year, $38M build deliver its fast payback on schedule, because the return only works if the timeline holds.
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.