Hycroft Mine (PEA base case - additional metrics) PEA: $10.00B NPV, 30.1% IRR
Hycroft Mining Holding Corporation's Hycroft Mine (PEA base case - additional metrics) in Nevada, USA has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of $10.00B and an after-tax IRR of 30.1%.
Hycroft Mining Holding Corporation's Hycroft Mine (PEA base case - additional metrics) has reported Preliminary Economic Assessment (PEA) results for the gold & silver project in Nevada, USA. The study headlines an after-tax net present value of $10.00B at a 5% discount rate. It reflects Hycroft Mining Holding Corporation's (HYMC) latest disclosed economics for the asset.
Economics. The after-tax NPV is $10.00B using a 5% discount rate. After-tax IRR is 30.1%. The study models a payback period of 2.9 years. Economics are based on Spot prices: $4,569/oz gold, $77.98/oz silver (NPV $10.0bn, 30.1% IRR). NAV page 31 also cites $4,596 Au and $77.94 Ag..
These figures are extracted from Hycroft Mining Holding Corporation'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.
Our Analysis
- IRR after-tax
- 30.1%
higher than 49% of 342 projects we track
- NPV after-tax
- $10.00B
higher than 99% of 440 projects we track
- Payback
- 2.9yrs
slower than 58% of 278 projects we track
- Discount rate
- 5%
- Study price assumption
- Spot prices: $4,569/oz gold, $77.98/oz silver (NPV $10.0bn, 30.1% IRR). NAV page 31 also cites $4,596 Au and $77.94 Ag.
- Spot gold today
- $4,371.20/oz
The valuation gap here is the story, and it cuts both ways. At roughly 5x the company's US$2.02B market cap, the after-tax NPV of $10.00B implies either a market that has not yet registered the asset's scale, or one that is pricing in substantial execution risk. The two-sided read matters: this could be unpriced value, or it could be the market's skepticism about financing and permitting a build of this magnitude relative to the equity base. This is not a single-asset junior that can quietly fund a project several times its size; it is a mid-cap with a diversified portfolio, one of four projects we track, which changes the financing calculus but does not erase it.
Confidence in those numbers is the crux. This is a PEA, scoping-level work where capital estimates typically carry a plus or minus 50% band, and the study's 5% discount rate sits at the low end of reporting convention, flattering the headline NPV. The 30.1% after-tax IRR ranks in the lower half of the 342 projects we track, though it clears the roughly 15% hurdle developers typically need for project finance. Payback of 2.9 years is moderate. The price deck, using spot gold at $4,569/oz, sits above today's $4,371.20/oz market, so returns carry some optimism baked in at the margin.
Nevada is a mining-friendly jurisdiction, which de-risks the permitting narrative relative to higher-risk locales, but the gap between a scoping study and a financed build remains wide. The question that decides this project is whether the company can convert that $10.00B NPV into a bankable feasibility study and a construction decision without diluting away the value the market is currently discounting.
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.