Eau Claire Project (Eau Claire & Percival) PEA: C$554M NPV, 41% IRR
Fury Gold Mines Limited's Eau Claire Project (Eau Claire & Percival) in Quebec, Canada (Eeyou Istchee James Bay Region) has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of C$554M, an after-tax IRR of 41%, and initial capital of C$217M. The mine plan runs 11 years at about 75852 oz Au per year.
Fury Gold Mines Limited's Eau Claire Project (Eau Claire & Percival) has reported Preliminary Economic Assessment (PEA) results for the gold project in Quebec, Canada (Eeyou Istchee James Bay Region). The study headlines an after-tax net present value of C$554M at a 5% discount rate. It reflects Fury Gold Mines Limited's (FURY.TO) latest disclosed economics for the asset.
Economics. The after-tax NPV is C$554M using a 5% discount rate. After-tax IRR is 41%. Initial capital expenditure is estimated at C$217M, with life-of-mine sustaining capital of C$66M. The study models a payback period of 2.5 years. All-in sustaining costs are pegged at 1140 USD/oz. Economics are based on US$2,400 per ounce gold base case; USD/C$ exchange rate 0.73.
Production and mine plan. The project envisions an open-pit & underground operation. Life of mine is 11 years. Average annual production is approximately 75852 oz Au. Average head grade is 4.46 g/t Au (LOM diluted); OP 2.5 g/t Au; UG 5.22 g/t Au. Metallurgical recovery averages 95%. The open-pit strip ratio is 7.73x.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Fury Gold Mines Limited's technical disclosures and reflect the most recent PEA 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 |
|---|---|---|---|
| Measured | 1,612,000 t | 5.67 g/t Au | 294,000 oz |
| Indicated | 4,781,000 t | 5.64 g/t Au | 866,000 oz |
| Measured & Indicated | 6,393,000 t | 5.64 g/t Au | 1,160,000 oz |
| Inferred | 5,445,000 t | 4.13 g/t Au | 723,000 oz |
Our Analysis
- IRR after-tax
- 41%
higher than 57% of 116 projects we track
- NPV after-tax
- C$554M
higher than 53% of 165 projects we track
- Initial capex
- C$217M
39% of NPV
costlier than 53% of 155 projects we track
- Payback
- 2.5yrs
slower than 64% of 97 projects we track
- Mine life
- 11yrs
- Discount rate
- 5%
- Study price assumption
- US$2,400 per ounce gold base case; USD/C$ exchange rate 0.73
- Spot gold today
- $4,363.00/oz
The build cost is the whole story. Initial capex of C$217M is roughly 1.4 times this company's entire market cap of US$113M. A micro-cap cannot quietly write a cheque that size. Someone else has to: a partner bought in at the project level, a streaming or royalty deal, a joint venture, or equity issued at whatever discount the market demands. Each of those routes transfers value away from existing holders, and the last one does so at the worst possible moment in the cycle. Note also that this is one of 7 projects the company carries, so management attention and balance sheet capacity are already spread thin.
The economics are the supporting act, and they are decent rather than decisive. A 41% after-tax IRR ranks above 57% of the 116 gold projects we track, and the C$554M after-tax NPV ranks above 53% of 165. Payback of 2.5 years sits below only 36% of the 97 projects we track, so the capital does come back reasonably quickly once built. Capex at 39% of NPV is genuinely lighter than the 47% average across the 155 gold projects we track, which helps. But a 41% IRR clears the roughly 15% project-finance threshold and the 20%-plus a junior with little else in the portfolio should demand, and it still does not solve the funding gap.
Two caveats cap the confidence. This is a PEA, scoping-level, potentially carrying inferred resources and a capital estimate with a plus or minus 50% band, so the C$217M could move materially. And the study assumes US$2,400 per ounce against a live spot of US$4,363, which leaves real upside if that price holds, though it also means the headline numbers are not the reason to own this. Quebec is a mining-friendly jurisdiction and that is a genuine positive. The question that decides the outcome is not the IRR. It is who funds C$217M, and what they take for it.
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.