Romero Gold-Copper Project PFS: $203M NPV, 28% IRR
Goldquest Mining Corp.'s Romero Gold-Copper Project in Dominican Republic has a Pre-Feasibility Study (PFS) outlining an after-tax NPV of $203M, an after-tax IRR of 28%, and initial capital of $158M.
Goldquest Mining Corp.'s Romero Gold-Copper Project has reported Pre-Feasibility Study (PFS) results for the gold project in Dominican Republic. The study headlines an after-tax net present value of $203M at a 5% discount rate. It reflects Goldquest Mining Corp.'s (GQC.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is $203M using a 5% discount rate. After-tax IRR is 28%. Initial capital expenditure is estimated at $158M. All-in sustaining costs are pegged at 595 USD/oz. Economics are based on US$1,300/oz Au and US$2.50/lb Cu; AuEq metal prices used were $1,400/oz Au, $20.00/oz Ag and $2.50/lb Cu.
Production and mine plan. The project envisions an underground operation. Average annual production is approximately 109 koz AuEq/year. Average head grade is ~5 g/t AuEq.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Goldquest Mining Corp.'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 |
|---|---|---|---|
| Probable | 7,031,000 tonnes | 3.72 g/t Au, 4.33 g/t Ag, 0.88% Cu, 4.9 g/t AuEq | 840,000 oz Au, 980,000 oz Ag, 136 M lb Cu, 1,117,000 oz AuEq |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Indicated | 18,390,000 tonnes | 2.57 g/t Au, 0.65% Cu, 0.31% Zn, 4.2 g/t Ag, 3.43 g/t AuEq | 1,520,000 oz Au, 2,028,000 oz AuEq |
| Indicated | 1,840,000 tonnes | 3.69 g/t Au, 0.25% Cu, 0.18% Zn, 1.6 g/t Ag, 4.01 g/t AuEq | 218,000 oz Au, 237,000 oz AuEq |
| Measured & Indicated | 20,230,000 tonnes | 2.67 g/t Au, 0.61% Cu, 0.30% Zn, 4.0 g/t Ag, 3.48 g/t AuEq | 1,738,000 oz Au, 2,265,000 oz AuEq |
| Inferred | 2,120,000 tonnes | 1.80 g/t Au, 0.39% Cu, 0.36% Zn, 3.2 g/t Ag, 2.32 g/t AuEq | 123,000 oz Au, 158,000 oz AuEq |
| Inferred | 900,000 tonnes | 2.57 g/t Au, 0.20% Cu, 0.21% Zn, 2.1 g/t Ag, 2.84 g/t AuEq | 74,000 oz Au, 82,000 oz AuEq |
| Inferred | 3,020,000 tonnes | 2.03 g/t Au, 0.33% Cu, 0.32% Zn, 2.9 g/t Ag, 2.47 g/t AuEq | 197,000 oz Au, 240,000 oz AuEq |
Our Analysis
- IRR after-tax
- 28%
higher than 27% of 116 projects we track
- NPV after-tax
- $203M
higher than 28% of 165 projects we track
- Initial capex
- $158M
78% of NPV
costlier than 43% of 155 projects we track
- Payback
- 2.5yrs
slower than 64% of 97 projects we track
- Discount rate
- 5%
- Study price assumption
- US$1,300/oz Au and US$2.50/lb Cu; AuEq metal prices used were $1,400/oz Au, $20.00/oz Ag and $2.50/lb Cu
- Spot gold today
- $4,363.00/oz
The number that decides this project is not the 28% after-tax IRR. It is the $158M initial capex set against a company worth roughly US$188M. The build is about 0.8x the entire market capitalisation, and this is the only project we track for this company, so there is no portfolio cash flow to lean on. A micro-cap cannot quietly fund a build of that size: the realistic routes are heavy equity dilution, a partner or streaming deal that gives away economics, or debt that a company this size will struggle to carry. Each option lands on existing holders.
The economics themselves are decent but not exceptional. After-tax NPV of $203M sits above the market cap on a rough currency-adjusted basis, which cuts both ways: it can mean the asset is unrecognised, or that the market is discounting financing, dilution and execution risk. The IRR ranks higher than only 27% of the 116 gold projects we track, and NPV higher than 28% of 165, so this sits in the lower half of the peer set. Payback of 2.5 years is moderate. Against the practical hurdle of roughly 15% for project finance, and 20%+ for a higher-risk junior with little else in the portfolio, 28% clears the bar but without much margin for the dilution the funding gap implies.
Two further points temper how the numbers should be read. This is a PFS, not a feasibility study or a build decision, so the estimate carries a wide band. And the study assumes US$1,300/oz gold against a live spot of $4,363.00/oz, so the headline figures are built on a price far below today's market: the returns are not stretched by an aggressive deck, but the NPV is also not the number a financier will underwrite at spot. The Dominican Republic is a workable mining jurisdiction, which supports the read, but jurisdiction does not solve the cheque. The question that decides this project is who writes the $158M, and on what terms.
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.