Puna Operations (Chinchillas & Pirquitas) Feasibility Study: $136M NPV Over a 2.5-Year Mine Life
SSR Mining Inc.'s Puna Operations (Chinchillas & Pirquitas) in Puna region, northwestern 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 per year per year.
SSR Mining Inc.'s Puna Operations (Chinchillas & Pirquitas) has reported Feasibility Study results for the silver (with lead and zinc by-products) project in Puna region, northwestern 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 per ounce silver, $0.93 per pound lead, and $1.20 per pound 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 per year. Average head grade is 154 g/t Ag, 1.23% Pb, 0.22% Zn (LOM head grade). Metallurgical recovery averages 96.5%.
Resources and ownership. The company holds a 100% interest in the project. 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 |
| Total | 4.5 Mt | 151.5 g/t Ag, 1.2% Pb, 0.32% Zn | 21.9 Moz Ag, 117.4 Mlb Pb, 29.3 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 |
| Measured & Indicated | 8.47 Mt | 113.8 g/t Ag, 1.03% Pb, 0.42% Zn | 31.0 Moz Ag, 192.1 Mlb Pb, 79.2 Mlb Zn |
| Measured & Indicated | 0.36 Mt | 70.0 g/t Ag, 0.51% Pb, 0.58% Zn | 0.8 Moz Ag, 4.0 Mlb Pb, 4.6 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 20% of 503 projects we track
- Mine life
- 2.5yrs
- Study price assumption
- Realized metal price over period 2024-2026: $23.95 per ounce silver, $0.93 per pound lead, and $1.20 per pound zinc. Resource cut-off prices: $22.00/oz silver, $0.95/lb lead, $1.15/lb zinc.
- Spot silver today
- $61.41/oz
A US$136M after-tax NPV places this project above only about a fifth of the 503 projects we track across all commodities: a mid-table asset, not a standout, and one that a US$7.28B mid-cap could fund from cash flow without noticing. That is the whole investment case in one line. The company carries 47 projects in our database, so this is a single line item in a diversified portfolio, not a company-maker, and nothing in the returns or the mine life suggests it should be treated as one.
The constraint that matters is the mine life: 2.5 years. A feasibility study is the build-ready estimate, typically a plus or minus 15% band, so these numbers carry more weight than a scoping exercise would, but that precision is attached to a very short production window. Against the 2023 feasibility study, after-tax NPV is up 0%, and mine life is up 0%: the engineering has not moved the economics in two years. The project is already at production stage, which removes development risk but also removes the re-rating catalyst that a construction decision normally provides.
The study assumes $23.95 per ounce silver against a live spot of $61.41. That gap is the reason the headline economics look modest rather than the reason to get excited: the mine is short enough that it may never fully capture a sustained higher price, and lead and zinc by-products at $0.93 and $1.20 per pound do little to change that. Puna region of Jujuy is a working mining jurisdiction, which helps. The question that decides this one: can a 2.5-year mine be extended, because at this scale the NPV alone does not justify the effort.
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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