Opemiska PEA: C$505M NPV, 27% IRR
XXIX Metal Corp.'s Opemiska in Chapais, Québec, Canada has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of C$505M and an after-tax IRR of 27%. The proposed mine plan runs 17 years.
XXIX Metal Corp.'s Opemiska has reported Preliminary Economic Assessment (PEA) results for the copper project in Chapais, Québec, Canada. The study headlines an after-tax net present value of C$505M at a 8% discount rate. It reflects XXIX Metal Corp.'s (XXIX.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is C$505M using a 8% discount rate. After-tax IRR is 27%. The study models a payback period of 2.3 years. Economics are based on Base Case: US$4.35/lb Cu, US$3,000/oz Au, US$30.00/oz Ag. Current pricing scenario: US$5.50/lb Cu, US$4,500/oz Au..
Production and mine plan. The project envisions an open-pit operation. Life of mine is 17 years. Average head grade is 0.7% CuEq average grade (LOM).
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from XXIX Metal Corp.'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 |
|---|---|---|---|
| Indicated | 69.6 Mt | 1.1% CuEq | 1,720 Mlbs CuEq |
| Inferred | 80.6 Mt | 0.4% CuEq | 746 Mlbs CuEq |
| Total pit-constrained | 141.2 Mt | 0.69% CuEq | 2,147 Mlbs CuEq |
Our Analysis
- IRR after-tax
- 27%
higher than 81% of 32 projects we track
- NPV after-tax
- C$505M
higher than 41% of 41 projects we track
- Payback
- 2.3yrs
slower than 10% of 31 projects we track
- Mine life
- 17yrs
- Discount rate
- 8%
- Study price assumption
- Base Case: US$4.35/lb Cu, US$3,000/oz Au, US$30.00/oz Ag. Current pricing scenario: US$5.50/lb Cu, US$4,500/oz Au.
- Spot copper today
- $6.66/lb
A C$505M after-tax NPV against a US$61M market capitalisation is the whole argument in one line. Read one way, a company trading at a fraction of its flagship study's headline value is either mispriced or holding an asset the market simply hasn't marked. Read the other way, and the gap is the market's verdict: a micro-cap with four projects to its name, asking investors to believe a scoping-level study will clear financing and permitting. Both readings are live, and nothing in the numbers settles which is right.
Québec helps. Chapais sits in a mining-friendly jurisdiction with established infrastructure and a permitting culture that doesn't routinely kill copper projects, which is worth real money in a sector where jurisdiction is often the difference between a study and a mine. The 27% after-tax IRR ranks above 81% of the 32 copper projects we track, comfortably clearing the roughly 15% project-finance threshold and the 20%-plus a junior with little else in the portfolio needs to attract capital. Payback of 2.3 years ranks ahead of 90% of the 31 peers we track. The 8% discount rate is a reporting convention, not a hurdle; ignore it.
The caution is the study itself. A PEA is scoping-level, may lean on inferred material, and its capital estimate carries a plus or minus 50% band. The NPV ranks above only 41% of the 41 copper projects we track, so the headline multiple rests on a preliminary number with wide error bars. The study's US$4.35/lb copper assumption sits below today's US$6.66/lb spot, which is genuine upside if it holds, though the current pricing scenario at US$5.50/lb is the more defensible read. The question that decides this: can a US$61M company fund and permit a build whose study value is roughly six times its equity?
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.
Get the next one first
Be the first to know about new mining results, and how they compare to other projects.