Study gives White Gold nearly C$2B value for 9-year mine in Yukon

AI desk brief

White Gold’s Yukon PEA outlines a C$1.9 billion after-tax NPV at a 5% discount rate, a 38% IRR and a 1.7-year payback, with initial capex of C$1 billion and projected output of 188,000 oz/year over a nine-year mine life. The project’s economics are being driven by a very aggressive $3,600/oz gold assumption, and the company’s shares jumped more than 10% on the release.

The study pegs all-in sustaining costs at $1,480/oz and incorporates the Golden Saddle, Arc, Ryan’s Surprise and VG deposits, which account for roughly 60% of the current resource. White Gold’s resource base stands at 1.73 million indicated ounces and 1.26 million inferred ounces, making it one of the larger undeveloped gold packages in Yukon. Management also highlighted upside from further drilling and the district-scale land package.

For the desk, the immediate read is bullish for Yukon gold developers and sentiment around higher gold-price optionality, but the direct bullion impact is limited. The key sensitivity is the project’s reliance on a $3,600/oz assumption versus peer pricing frameworks; if spot gold softens materially, the headline economics will compress quickly. Monitor follow-through in the stock and any market reaction to developer valuations versus current spot and forward curves.