Troilus Gold - Copper Project Feasibility Study: $3.21B NPV, 22% IRR
Troilus Mining Corp.'s Troilus Gold - Copper Project in Québec, Canada has a Feasibility Study outlining an after-tax NPV of $3.21B, an after-tax IRR of 22%, and initial capital of $1.43B. The proposed mine plan runs 26 years.
Troilus Mining Corp.'s Troilus Gold - Copper Project has reported Feasibility Study results for the gold project in Québec, Canada. The study headlines an after-tax net present value of $3.21B at a 5% discount rate. It reflects Troilus Mining Corp.'s (TLG.TO) latest disclosed economics for the asset.
Economics. The after-tax NPV is $3.21B using a 5% discount rate. After-tax IRR is 22%. Initial capital expenditure is estimated at $1.43B, with life-of-mine sustaining capital of $198M. The study models a payback period of 3.6 years. All-in sustaining costs are pegged at 1340 USD/oz. Economics are based on Gold $3,600/oz; Copper $5.00/lb; Silver $50/oz; exchange rate US$1 = C$1.37.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 26 years. Average head grade is 0.44 g/t Au, 0.05% Cu, 0.92 g/t Ag. Metallurgical recovery averages 85.7%. The open-pit strip ratio is 2.4:1.
These figures are extracted from Troilus Mining Corp.'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 | 49 Mt | 0.45 g/t Au, 0.048% Cu, 0.70 g/t Ag, 0.53 g/t AuEq, 0.38% CuEq | 0.71 Moz Au, 52 Mlb Cu, 1.10 Moz Ag, 0.83 Moz AuEq, 0.42 Blbs CuEq |
| Probable | 429 Mt | 0.43 g/t Au, 0.055% Cu, 0.95 g/t Ag, 0.52 g/t AuEq, 0.39% CuEq | 5.98 Moz Au, 517 Mlb Cu, 13.12 Moz Ag, 7.18 Moz AuEq, 3.65 Blbs CuEq |
| Proven & Probable | 478 Mt | 0.44 g/t Au, 0.054% Cu, 0.92 g/t Ag, 0.52 g/t AuEq, 0.39% CuEq | 6.69 Moz Au, 568 Mlb Cu, 14.22 Moz Ag, 8.01 Moz AuEq, 4.06 Blbs CuEq |
| Category | Tonnage | Grade | Contained |
|---|---|---|---|
| Measured | 81.6 Mt | 0.35 g/t Au, 0.04% Cu, 0.64 g/t Ag, 0.42 g/t AuEQ | 0.9 Moz Au, 76.4 Mlb Cu, 1.7 Moz Ag, 1.1 Moz AuEQ |
| Indicated | 728.6 Mt | 0.39 g/t Au, 0.05% Cu, 0.84 g/t Ag, 0.47 g/t AuEQ | 9.2 Moz Au, 792.1 Mlb Cu, 19.6 Moz Ag, 11.0 Moz AuEQ |
| Measured & Indicated | 810.2 Mt | 0.39 g/t Au, 0.05% Cu, 0.82 g/t Ag, 0.46 g/t AuEQ | 10.2 Moz Au, 868.5 Mlb Cu, 21.3 Moz Ag, 12.1 Moz AuEQ |
| Inferred | 182.5 Mt | 0.34 g/t Au, 0.04% Cu, 0.72 g/t Ag, 0.41 g/t AuEQ | 2.0 Moz Au, 177.8 Mlb Cu, 4.2 Moz Ag, 2.4 Moz AuEQ |
Our Analysis
- IRR after-tax
- 22%
higher than 10% of 110 projects we track
- NPV after-tax
- $3.21B
higher than 95% of 145 projects we track
- Initial capex
- $1.43B
45% of NPV
costlier than 92% of 144 projects we track
- Payback
- 3.6yrs
slower than 90% of 90 projects we track
- Mine life
- 26yrs
- Discount rate
- 5%
- Study price assumption
- Gold $3,600/oz; Copper $5.00/lb; Silver $50/oz; exchange rate US$1 = C$1.37
- Spot gold today
- $4,470.30/oz
A US$943M company is proposing to build a US$1.43B mine. That single relationship frames everything else about this project: the initial capex is roughly 1.5x the entire market capitalisation of the developer, and this is the only asset we track for it. A cheque of that size cannot be written quietly. It implies a partner, a streaming or offtake arrangement, heavy debt, an equity raise that materially dilutes existing holders, or some combination of all four. The headline NPV of US$3.21B is real on paper, but it accrues to whoever funds the build, and the terms on which that money arrives will determine what today's shareholders actually keep.
The economics themselves are respectable without being exceptional. A 22% after-tax IRR ranks above only 10% of the 110 gold projects we track, a bottom-quartile result, and the 3.6-year payback sits above just 10% of the 90 projects we track. Against the roughly 15% after-tax return developers typically need to attract project finance, and the 20%-plus that a junior with a single asset and little else in the portfolio would need to clear, 22% is adequate rather than comfortable. The study's 5% discount rate is a reporting convention, not an investment hurdle, and should not be read as a margin of safety.
What supports the case is the scale of the resource and the jurisdiction: a 26-year mine life in Québec, with the feasibility study carrying the tighter confidence band that comes with build-ready estimates, and a US$3.21B NPV that ranks above 95% of the 145 gold projects we track. The study assumes US$3,600/oz gold against a live spot of US$4,470.30/oz, so the returns carry some commodity upside if that gap holds. The 2024 filing comparison (NPV up 262%, capex up 33%, mine life up 18%, IRR up 8 points) shows genuine improvement, though capex has grown alongside it. The question that decides this project is not the IRR. It is who writes the US$1.43B cheque, 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.