Puquios PFS: $118M NPV, 23.4% IRR
Camino Minerals Corporation's Puquios in Coquimbo Region, Chile (~130 km NE of La Serena) has a Pre-Feasibility Study (PFS) outlining an after-tax NPV of $118M, an after-tax IRR of 23.4%, and initial capital of $142M. The mine plan runs 14.2 years at about 8.8 kt Cu (avg years 1-8) per year.
Camino Minerals Corporation's Puquios has reported Pre-Feasibility Study (PFS) results for the copper project in Coquimbo Region, Chile (~130 km NE of La Serena). The study headlines an after-tax net present value of $118M at a 8% discount rate. It reflects Camino Minerals Corporation's (COR.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is $118M using a 8% discount rate. After-tax IRR is 23.4%. Initial capital expenditure is estimated at $142M, with life-of-mine sustaining capital of $21M. The study models a payback period of 3.1 years. All-in sustaining costs are pegged at 1.68 USD/lb Cu. Economics are based on Base case flat $4.25/lb Cu; sensitivity $5.50/lb Cu.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 14.2 years. Average annual production is approximately 8.8 kt Cu (avg years 1-8). Average head grade is 0.49% Cu. Metallurgical recovery averages 78.8%. The open-pit strip ratio is 1.56:1.
Resources and ownership. The company holds a 50% interest in the project. Royalties and streams: 2% NSR royalty payable to third party; 1.25% NSR royalty payable to Elemental Royalty Corporation.
These figures are extracted from Camino Minerals Corporation's technical disclosures and reflect the most recent PFS 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 | 26 Mt | 0.49% Cu | 128 kt Cu |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured & Indicated | 32 Mt | 0.46% Cu | 149 kt Cu |
Our Analysis
- IRR after-tax
- 23.4%
higher than 65% of 43 projects we track
- NPV after-tax
- $118M
higher than 12% of 50 projects we track
- Initial capex
- $142M
120% of NPV
costlier than 11% of 53 projects we track
- Payback
- 3.1yrs
slower than 27% of 41 projects we track
- Mine life
- 14.2yrs
- Discount rate
- 8%
- Study price assumption
- Base case flat $4.25/lb Cu; sensitivity $5.50/lb Cu
- Spot copper today
- $6.55/lb
A US$142M build against a US$20M market capitalisation is the fact that governs everything else here. The company cannot fund this from its own balance sheet, and it cannot raise several times its equity value in the ordinary course without handing control of the asset, and much of the upside, to whoever writes the cheque. That points to a small set of realistic outcomes: a partner or offtaker carrying the construction burden, a heavily dilutive equity raise, a sale of the project or the company, or a slower staged build. Existing holders should read the headline economics as an option on one of those paths being struck on tolerable terms, not as a return they are positioned to collect.
The numbers underneath are respectable without being exceptional. The 23.4% after-tax IRR sits in the upper half of the copper projects we track and clears the roughly 15% threshold project lenders typically want, with room for the higher bar a junior with a thin portfolio would face. But the after-tax NPV of US$118M ranks above only 12% of the peer set, and payback at 3.1 years is middling. Capex at 120% of NPV tells the same story: this is a capital-hungry build relative to the value it creates, which is precisely why the funding question dominates.
The Coquimbo Region of Chile is a well-established mining district, and that matters for how the numbers should be read: permitting, infrastructure and workforce risk are lower than in frontier jurisdictions, which supports the credibility of the estimate rather than its size. The study is a PFS, so the capital and operating figures carry a wide margin of error and are not yet a build decision. The base case assumes US$4.25/lb copper against US$6.55/lb spot, so there is genuine price upside embedded, though it does nothing to reduce the cheque that has to be written. The question that decides this project is whether a partner can be brought in on terms that fund the build without leaving current holders with a stub of what they thought they owned.
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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