Yellowhead Project Feasibility Study: C$2.00B NPV, C$2.00B Capex
Taseko Mines Limited's Yellowhead Project in Thompson-Nicola, British Columbia, Canada (150 km NE of Kamloops) has a Feasibility Study outlining an after-tax NPV of C$2.00B and initial capital of C$2.00B. The mine plan runs 25 years at about 178 Mlb Cu (LOM average); first 5 years 206 Mlb Cu per year.
Taseko Mines Limited's Yellowhead Project has reported Feasibility Study results for the copper project in Thompson-Nicola, British Columbia, Canada (150 km NE of Kamloops). The study headlines an after-tax net present value of C$2.00B at a 8% discount rate. It reflects Taseko Mines Limited's (TGB) latest disclosed economics for the asset.
Economics. The after-tax NPV is C$2.00B using a 8% discount rate. Initial capital expenditure is estimated at C$2.00B. Economics are based on US$4.25/lb copper (base case); at current long-term consensus copper price of US$5.25/lb after-tax NPV8 is C$3.7 billion and IRR 32%.
Production and mine plan. The project envisions an open-pit operation. Life of mine is 25 years. Average annual production is approximately 178 Mlb Cu (LOM average); first 5 years 206 Mlb Cu. The open-pit strip ratio is 1.4:1.
Resources and ownership. The company holds a 100% interest in the project.
These figures are extracted from Taseko Mines Limited'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.
Our Analysis
- NPV after-tax
- C$2.00B
higher than 74% of 43 projects we track
- Initial capex
- C$2.00B
100% of NPV
costlier than 66% of 47 projects we track
- Mine life
- 25yrs
- Study price assumption
- US$4.25/lb copper (base case); at current long-term consensus copper price of US$5.25/lb after-tax NPV8 is C$3.7 billion and IRR 32%
- Spot copper today
- $6.67/lb
Against the 43 copper projects we track, this one's after-tax NPV of C$2.00B ranks above 74% of them. That is a genuinely strong position, but it is a rank, not a verdict: a project in the top quartile on NPV still has to be built, and the gap between the number on the page and the metal in the ground is where investors actually get paid or don't. The study is a feasibility-level estimate, which matters here. Feasibility work carries a tighter margin of error than a scoping study, so these figures deserve more weight than a PEA's would, and the 25-year mine life gives the NPV a long tail to earn into. British Columbia is a mining-friendly jurisdiction with established permitting infrastructure, which supports the quality read.
The constraint is scale relative to the company. The initial capex of C$2.00B equals 100% of the NPV and sits at roughly 0.5x the company's entire market cap (US$3.04B, currency-adjusted). A build costing half your equity value cannot be financed quietly: it means debt, equity, a partner, or some combination, and each path carries dilution or control consequences. That capex is lower than only 34% of the 47 copper projects we track, so it is not unusually cheap to build. The company holds five projects in our coverage, which spreads execution risk but also spreads capital and management attention.
The study assumes US$4.25/lb copper. Live spot is $6.67/lb, and at a long-term consensus of US$5.25/lb the after-tax NPV8 rises to C$3.7B with a 32% IRR. That is real upside if the higher price deck holds, but it also means the base case is the conservative read, not the headline. The question that decides this: can the company fund a C$2.00B build without gutting the equity case?
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.