With initial capital spending planned between $37 million and $40 million for 2025, production is projected to begin by mid-2027, targeting an average annual gold output of 127,000 ounces during the first four years.
PDA has an estimated after-tax Net Present Value (NPV) (5%) of $269 million and an after-tax Internal Rate of Return (IRR) of 46%, based on a base case gold price of $1,950 per ounce and an MXN/USD exchange rate of 18:1. At a gold price of $2,500 per ounce, the after-tax NPV (5%) increases to $492 million, with an after-tax IRR of 73%.
Alamos’ portfolio also includes the Island Gold District and Young-Davidson mine in northern Ontario, as well as the Lynn Lake project in Manitoba, Canada.
Shares of Alamos Gold rose 05% by 11:10 a.m. EDT. The miner has a market capitalization of $8.6 billion.
