Wind Mountain PEA: $415M NPV, 60% IRR
Bravada Gold Corporation's Wind Mountain in Nevada, USA has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of $415M, an after-tax IRR of 60%, and initial capital of $98M. The mine plan runs 11.2 years at about 44.4 koz AuEq per year.
Bravada Gold Corporation's Wind Mountain has reported Preliminary Economic Assessment (PEA) results for the gold project in Nevada, USA. The study headlines an after-tax net present value of $415M at a 5% discount rate. It reflects Bravada Gold Corporation's (BVA.V) latest disclosed economics for the asset.
Economics. The after-tax NPV is $415M using a 5% discount rate. After-tax IRR is 60%. Initial capital expenditure is estimated at $98M, with life-of-mine sustaining capital of $41M. The study models a payback period of 2 years. All-in sustaining costs are pegged at 1653 USD/oz. Economics are based on Base case US$3,600/oz gold and US$48/oz silver.
Production and mine plan. The project envisions an open-pit (oxide heap leach) operation. Life of mine is 11.2 years. Average annual production is approximately 44.4 koz AuEq. The open-pit strip ratio is 0.20:1.
These figures are extracted from Bravada Gold Corporation'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 |
|---|---|---|---|
| Indicated | 56.0 Mt | 0.32 g/t Au, 8.51 g/t Ag, 0.35 g/t AuEq | 574,400 oz Au, 15,325,000 oz Ag, 623,700 oz AuEq |
| Inferred | 40.0 Mt | 0.15 g/t Au, 5.37 g/t Ag, 0.16 g/t AuEq | 192,400 oz Au, 6,902,000 oz Ag, 210,200 oz AuEq |
Our Analysis
- IRR after-tax
- 60%
higher than 78% of 119 projects we track
- NPV after-tax
- $415M
higher than 40% of 189 projects we track
- Initial capex
- $98M
24% of NPV
costlier than 25% of 175 projects we track
- Payback
- 2yrs
slower than 50% of 102 projects we track
- Mine life
- 11.2yrs
- Discount rate
- 5%
- Study price assumption
- Base case US$3,600/oz gold and US$48/oz silver
- Spot gold today
- $4,225.70/oz
A US$98M build against a US$17M market capitalisation is the whole story here. The capex is roughly 5.7 times the company's entire equity value, and no nano-cap writes that cheque from its own balance sheet. It gets paid for by someone else: a partner earning in, a royalty or streaming deal, project debt against a feasibility-level study, or equity issued at a fraction of today's price. Every one of those routes costs existing holders something, and the last one costs them the most. The study's own framing helps here: initial capex is only 24% of NPV, lower than 75% of the 175 gold projects we track, which makes this the kind of asset a financier can look at without balking at the ratio. But capital-light relative to the orebody is not the same as affordable relative to the company that owns it.
The economics themselves are genuinely strong on paper. A 60% after-tax IRR ranks higher than 78% of the 119 gold projects we track, and against the roughly 15% that developers typically need to attract project finance, or the 20%-plus demanded of a higher-risk junior with little else to lean on, the margin is wide. The after-tax NPV of US$415M ranks higher than 40% of the 189 projects we track, and a two-year payback is moderate. That NPV is about 24.1x the market cap, which cuts both ways: either the market has not done the work, or it has and does not like the funding path, the PEA-level capital estimate with its plus or minus 50% band, or the dilution that closing the gap would require.
Two things temper the read. This is scoping-level work, not a feasibility study, so the capital number and the returns built on it will move. And the study assumes US$3,600/oz gold against a live spot of US$4,225.70/oz, so there is headroom in the price deck rather than optimism. Nevada is about as good as gold jurisdictions get. None of that answers the only question that matters: who funds US$98M, 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.