New Pacific Metals updated its economic assessment for the Carangas silver-gold project in Bolivia, raising the after-tax net present value to $2.65 billion [1].
This valuation increase suggests the project has become more financially viable for investors. The shift comes as the company identifies new mineral zones and scales its operational capacity to maximize output from the site.
According to the updated preliminary economic assessment (PEA), the project now shows an internal rate of return of 35.9% [1]. These figures represent a significant boost in the projected economics of the Carangas site, which is located in Bolivia [2].
Company officials said the improved numbers are due to two primary factors. First, the team identified a newly discovered gold zone within the project area [1]. Second, the company increased the projected processing capacity for the mine [1].
New Pacific Metals is listed on the Toronto Stock Exchange under the ticker NUAG and on the New York Stock Exchange under NEWP [3]. The company is focusing on the Carangas project to leverage the combined value of silver and gold deposits.
The updated PEA serves as a foundational document for the company as it determines the next steps for development. By increasing the processing capacity, the company aims to extract more value from the existing ore bodies, and integrate the new gold zone into the mine plan [1].
“The after-tax net present value of the Carangas project is $2.65 billion.”
The upward revision of the Carangas project's value indicates that New Pacific Metals is successfully expanding its resource base in Bolivia. By increasing the internal rate of return and net present value through capacity expansion and new discoveries, the company is positioning the asset to attract more capital or potentially enter a production phase with higher projected margins.
