Puna Operations (Chinchillas & Pirquitas) Feasibility Study: $136M NPV Over a 2.5-Year Mine Life
SSR Mining Inc.'s Puna Operations (Chinchillas & Pirquitas) in Argentina, Province of Jujuy, Department of Rinconada has a Feasibility Study outlining an after-tax NPV of $136M. The mine plan runs 2.5 years at about 6.3 Moz Ag/yr per year.
SSR Mining Inc.'s Puna Operations (Chinchillas & Pirquitas) has reported Feasibility Study results for the silver (lead, zinc by-products) project in Argentina, Province of Jujuy, Department of Rinconada. The study headlines an after-tax net present value of $136M at a 8% discount rate. It reflects SSR Mining Inc.'s (SSRM) latest disclosed economics for the asset.
Economics. The after-tax NPV is $136M using a 8% discount rate. All-in sustaining costs are pegged at 15.93 USD/oz Ag. Economics are based on Realized metal price over period 2024-2026: $23.95/oz silver, $0.93/lb lead, $1.20/lb zinc. Resource cut-off prices: $22.00/oz silver, $0.95/lb lead, $1.15/lb zinc..
Production and mine plan. The project envisions an open-pit operation. Life of mine is 2.5 years. Average annual production is approximately 6.3 Moz Ag/yr. Average head grade is 154 g/t Ag, 1.23% Pb, 0.22% Zn. Metallurgical recovery averages 96.5%.
Resources and ownership. Royalties and streams: Royalties: 3% Net Profit; Export duty: 4.5% NSR; Export credit: 2.5% NSR.
These figures are extracted from SSR Mining Inc.'s technical disclosures and reflect the most recent Feasibility Study 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 |
|---|---|---|---|
| Proven & Probable | 4.2 Mt | 154.4 g/t Ag, 1.23% Pb, 0.22% Zn | 20.7 Moz Ag, 112.8 Mlb Pb, 20.5 Mlb Zn |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured & Indicated | 8.83 Mt | 112.1 g/t Ag, 1.01% Pb, 0.43% Zn | 31.82 Moz Ag, 196.2 Mlb Pb, 83.8 Mlb Zn |
| Inferred | 1.51 Mt | 93.5 g/t Ag, 0.72% Pb, 0.45% Zn | 4.54 Moz Ag, 24.0 Mlb Pb, 15.0 Mlb Zn |
| Measured & Indicated | 2.48 Mt | 300.9 g/t Ag, 5.85% Zn | 23.99 Moz Ag, 319 Mlb Zn |
| Inferred | 1.32 Mt | 194.9 g/t Ag, 7.28% Zn | 8.3 Moz Ag, 212 Mlb Zn |
Our Analysis
- NPV after-tax
- $136M
higher than 18% of 360 projects we track
- Mine life
- 2.5yrs
- Study price assumption
- Realized metal price over period 2024-2026: $23.95/oz silver, $0.93/lb lead, $1.20/lb zinc. Resource cut-off prices: $22.00/oz silver, $0.95/lb lead, $1.15/lb zinc.
- Spot silver today
- $58.86/oz
The NPV ranks in the bottom fifth of the 360 projects we track, landing higher than only 18% of them. That placement is the first thing an investor should register, because it frames everything else. This is not a project that will move the needle on its own; it is a small, short-life silver operation within a diversified mid-cap portfolio. The company's market cap of US$5.54B dwarfs the $136M after-tax NPV, so the equity story here is not about this asset creating or destroying the company. The rank simply tells you this is a marginal contributor, and the investment case must rest on something other than scale.
The constraint that matters most is time. With a 2.5-year mine life, this is a sprint, not a marathon. A feasibility study typically carries a plus or minus 15% band, so the numbers have real weight, but a two-and-a-half-year window leaves no room for operational stumbles or permitting delays. The jurisdiction, Argentina's Jujuy Province, is workable but adds a layer of execution risk that a longer-life asset could better absorb. The study's realized price assumption of $23.95/oz silver sits well below today's spot of $58.86/oz, which suggests the returns could be conservative if current prices hold. That gap is the project's most interesting feature, but it also cuts both ways: it may reflect the study's dated price deck, or a deliberate hedge against volatility in a short production window.
The single question that decides whether this works is whether the company can execute a 2.5-year build and production cycle without a hiccup. The NPV is small relative to the balance sheet, so financing is not the issue. The issue is whether a diversified mid-cap will give this project the operational attention it needs, or whether it becomes a rounding error in a larger portfolio. If the silver price holds near current levels, this could be a tidy cash generator. If it does not, the short mine life means there is no time to wait for a recovery.
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.