San Javier PEA: $112M NPV, 26.3% IRR
Barksdale Resources Corp.'s San Javier in Sonora, Mexico (140 km SE of Hermosillo) has a Preliminary Economic Assessment (PEA) outlining a pre-tax NPV of $112M and a pre-tax IRR of 26.3%.
Barksdale Resources Corp.'s San Javier has reported Preliminary Economic Assessment (PEA) results for the copper project in Sonora, Mexico (140 km SE of Hermosillo). The study headlines a pre-tax net present value of $112M at a 7% discount rate. It reflects Barksdale Resources Corp.'s (BRO.V) latest disclosed economics for the asset.
Economics. The pre-tax NPV is $112M using a 7% discount rate. Pre-tax IRR is 26.3%. The study models a payback period of 3.8 years. Economics are based on US$4.00 per pound copper.
Production and mine plan. Average head grade is 0.271% Tcu (M&I). The open-pit strip ratio is 0.25 (ktonnes below cutoff to above cutoff).
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Barksdale Resources 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 |
|---|---|---|---|
| Measured | 12,485 kt | 0.278% Tcu, 0.203% As+Cn Cu, 0.172% AsCu, 0.032% CnCu | 76,573 klbs Cu (55,938 klbs soluble) |
| Indicated | 57,664 kt | 0.270% Tcu, 0.184% As+Cn Cu, 0.148% AsCu, 0.037% CnCu | 342,669 klbs Cu (233,504 klbs soluble) |
| Measured & Indicated | 70,149 kt | 0.271% Tcu, 0.187% As+Cn Cu, 0.152% AsCu, 0.036% CnCu | 419,242 klbs Cu (289,442 klbs soluble) |
| Inferred | 5,965 kt | 0.240% Tcu, 0.152% As+Cn Cu, 0.114% AsCu, 0.038% CnCu | 31,563 klbs Cu (19,923 klbs soluble) |
Our Analysis
- IRR pre-tax
- 26.3%
higher than 77% of 43 projects we track
- NPV pre-tax
- $112M
higher than 10% of 50 projects we track
- Payback
- 3.8yrs
slower than 46% of 41 projects we track
- Discount rate
- 7%
- Study price assumption
- US$4.00 per pound copper
- Spot copper today
- $6.54/lb
A 26.3% pre-tax IRR puts this Sonora copper project in the top quartile of the 43 copper projects we track, ahead of 77% of them. That rank is the strongest single thing the study has going for it, and it matters because a junior with little else to lean on typically needs 20%+ to get project finance over the line; on that measure the return clears the bar with room. The rest of the peer picture is less even. Pre-tax NPV of $112M ranks above only 10% of the 50 copper projects we track, and a 3.8-year payback sits mid-pack, lower than 54% of the 41 projects we compare. So this is a high-returning, small-absolute-value asset: efficient per dollar of study capital, but not a large prize.
The constraint that dominates is scale against the company. A US$62M micro-cap is proposing to build an asset whose NPV is roughly 1.8x its own market value, and that gap cuts both ways. It can mean the market has yet to price the study, or that it is discounting for financing, dilution, permitting or jurisdiction risk. The funding arithmetic is the sharper point: a build this size relative to equity cannot be quietly financed, and this is one of 8 projects the company carries, so capital and management attention are spread across a diversified book rather than concentrated here.
Weigh the study stage heavily. This is a scoping-level PEA, may rest on inferred material, and its capital estimate carries a plus or minus 50% band, so the headline economics are indicative rather than bankable. The 7% discount rate is a reporting convention and tells you nothing about the investment case. The study assumes US$4.00/lb copper against a live spot of $6.54/lb, so the returns as published look conservative on price, with real upside if spot holds. Sonora is a established mining jurisdiction, which helps. The question that decides this: can a US$62M company fund a build of this size without diluting away the 26.3% return?
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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