Perpetua Resources has announced significant progress in the development of its Stibnite Gold Project, one of the top 10 gold deposits in the United States.
The company has finalised basic engineering and signed detailed engineering and procurement contracts, signalling a move closer to a construction decision.
Perpetua has contracted Ausenco Engineering USA South for detailed engineering studies and Idaho Power for powerline materials procurement.
These contracts mark a crucial step in advancing the project, located in Valley County near Yellow Pine, Idaho.
The Stibnite Gold Project’s economics were recently highlighted in Perpetua’s 2024 Financial Update, showcasing a US$3.7 billion after-tax net present value (NPV) and an internal rate of return (IRR) exceeding 27 per cent at spot prices.
Even at lower prices, the project remains resilient, with a US$1.4 billion after-tax NPV and a 15.4 per cent after-tax IRR at long-term consensus prices.
The all-in-sustaining costs are projected to average US$435 per ounce of gold for the first four years and stay below US$760 per ounce over the mine’s life.
This positions the Stibnite Gold Project as a low-cost operation in a Tier One jurisdiction.
“The Stibnite Gold Project is among an elite class of gold projects, with industry-leading costs, a world-class reserve of 4.8 million gold ounces, and an annual production profile of approximately 300,000 ounces over a 15-year life,” said Jon Cherry, president and CEO of Perpetua Resources.
“With the Final Record of Decision published and basic engineering complete, Perpetua looks forward to finalising our few remaining ancillary permits and securing financing to start construction in 2025 to become a reliable source of the critical mineral antimony for defence needs.”
The Financial Update supports Perpetua’s loan application with the US Export-Import Bank’s US$1.8 billion letter of interest under the Make More in America and China Transformational Exports programs.
The project may also lead to a more than 15 per cent increase in US jobs, potentially boosting the existing US$1.8 billion indication of interest from the US Export-Import Bank.
Perpetua is currently evaluating strategic and financing opportunities, supported by financial advisors, and progressing with execution planning to prepare the project for construction once all necessary permits are secured.
Idaho Power president and CEO Lisa Grow added: “We are pleased to partner with Perpetua Resources to power the country’s next major mineral resource project right here in Idaho.
“This collaboration not only supports our nation’s economic growth but also strengthens our national security by ensuring a stable domestic supply of the critical mineral antimony.
“Our commitment to providing safe, reliable, affordable energy aligns with Perpetua’s mission to responsibly produce these essential minerals.”
Last month, Perpetua announced the receipt of the Final Record of Decision from the US Forest Service, approving the Stibnite Gold Project’s mine plan.
