Limousine Butte (Limo Butte) - Phase 1 Project Jumpstart Antimony Resource Estimate: $50M Capex
NevGold Corp.'s Limousine Butte (Limo Butte) - Phase 1 Project Jumpstart Antimony in Nevada, USA has a Mineral Resource Estimate outlining initial capital of $50M.
NevGold Corp.'s Limousine Butte (Limo Butte) - Phase 1 Project Jumpstart Antimony has reported Mineral Resource Estimate results for the antimony project in Nevada, USA. It reflects NevGold Corp.'s (NAU.V) latest disclosed economics for the asset.
Economics. Initial capital expenditure is estimated at $50M. Economics are based on AuEq cut-off used assumed metals prices of US$3,000/oz Au and US$40,000 per tonne Sb (~30% discount to spot), with recoveries of 80% Au and 75% Sb.
Production and mine plan. The project envisions a re-processing of historical leach pads (no mining) operation. Average head grade is 0.28% Sb.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from NevGold Corp.'s technical disclosures and reflect the most recent Resource Estimate 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 & Indicated | 2.3 Mt | 0.28% Sb | 6,900 Sb tonnes |
| Inferred | 0.05 Mt | 0.99% Sb | 500 Sb tonnes |
Our Analysis
- Initial capex
- $50M
costlier than 15% of 542 projects we track
- Study price assumption
- AuEq cut-off used assumed metals prices of US$3,000/oz Au and US$40,000 per tonne Sb (~30% discount to spot), with recoveries of 80% Au and 75% Sb
A US$50M build against a US$75M market cap is the fact that governs everything else here. The capex itself is modest in absolute terms, smaller than 85% of the 542 projects we track, but that comparison flatters the situation: what matters is the ratio to the company, and at roughly 0.7x its entire equity value, this is a build the company cannot fund quietly. A raise of that scale is transformative for a micro-cap, and it sits alongside seven other projects in the portfolio, so capital is being competed for internally as well as externally. That is the constraint an investor should underwrite first, before any grade or recovery assumption.
The study stage compounds the caution. This is a resource estimate, not an economic study, so there is no IRR, NPV or mine plan to rank against peers in any meaningful sense. The economics are indicative at best, and the assumed inputs (US$3,000/oz gold and US$40,000/t antimony, with 80% gold and 75% antimony recoveries) are planning assumptions rather than a tested case. Treat the metal price deck as a sensitivity: the antimony figure carries an explicit discount, which is prudent, but a resource-stage project has wide latitude between assumption and outcome, and recoveries at those levels remain to be demonstrated at scale.
Nevada is the strongest card. A US jurisdiction with established permitting and mining infrastructure materially de-risks the path from resource to development, and for a micro-cap that matters more than headline numbers. The antimony exposure is a genuine differentiator given supply concentration elsewhere, but it cuts both ways: a by-product-style commodity with a thin, policy-sensitive market can move sharply in either direction.
The question that decides this: can a US$75M company fund a US$50M build without diluting existing holders beyond recognition, and does the resource, once properly studied, justify that raise?
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.
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