Stormlands Model Lifts Clarence Stream Gold Project Value by 52.8%

Stormlands Mining has raised the valuation for Galway Metals’ Clarence Stream gold-antimony project by 52.8%. A new model now estimates the project’s net present value (NPV) at $676.1 million (C$940.84 million). This update applies current gold and antimony prices to the May mineral resource estimate.

Higher commodity prices drove the significant increase. The base model previously showed an NPV of $442.5 million. Stormlands used a gold price of $4,245.22 per ounce and an antimony price of $31,000 per ounce for its calculations.

Gold accounts for more than 95% of the modeled revenue. Almost all the value uplift comes from gold price changes. The project, located southwest of Fredericton, spans over 60,000 hectares.

Projected life-of-mine revenue increased to $5.48 billion from $4.23 billion. Earnings before interest, taxes, depreciation, and amortization (EBITDA) rose to $4.17 billion from $2.93 billion. The internal rate of return (IRR) grew to 44.86% from 31.15%, and the payback period shortened by about one year.