RedCloud Webinar Recap (Sept 17th) REDCLOUD WEBINAR RECAP: NexGold Mining (NEXG.v NXGCF) - 3M Buildable Ounces and an Exciting Path Forward
Today, NexGold Mining's (NEXG.v NXGCF) President, Morgan Lekstrom, hosted a webinar with RedCloud Securities to detail its Goliath Gold Project in Ontario Canada: https://www.youtube.com/watch?v=kiW4PsjY5-8
Key Project Details
- Located in Northwestern Ontario, this 3 million-ounce deposit has federal permits and is finalizing provincial permits.
- Expected production: 116,000 ounces of gold per year for the first seven years.
- Current capital expenditure (CAPEX): $335 million, aiming for production within 16 months.
- At a gold price of $2,150/oz, the project has a net present value (NPV) of $652 million and an internal rate of return (IRR) of 41.5%.
Strategy and Growth
- Near-term production with potential for growth and consolidation.
- Exploration potential for further discoveries along a 65-kilometer strike length.
- Target to be a mid-tier producer with 80,000-120,000 ounces annually.
Exploration Focus:
- A 25,000-meter drill campaign is underway to expand the resource and explore new targets.
- The team is confident that the Goliath Project will grow significantly beyond the current resource.
Strong Management Team:
- Led by experienced industry figures like Jim Gowans (former Barrick executive) and Frank Giustra (significant investor).
- The team has proven expertise in building and operating mines.
Infrastructure:
- The project is located near Dryden, Ontario, with excellent infrastructure including power lines and major highways.
- The Goliath Project could serve as a hub for other projects in the region.
Capital and Share Structure:
- The company is well-capitalized with $12 million in the bank.
- 60% of shares are tightly held by institutional investors and significant stakeholders, including Frank Giustra’s Extract Capital.
Exploration and Development Timeline
- Federal environmental permits are in place, with provincial permits expected by Q2-Q3 2024.
- The company aims for construction to begin in Q3 2024 and is advancing its feasibility study, due in Q1 2024.
- Niblack Project: A secondary asset in Southeast Alaska with significant exploration and production potential for copper, gold, and zinc.
Q&A Highlights
- Permitting Status: Federal permits are already secured, and provincial permits are expected soon.
- First Nations Relations: Strong relationships with local First Nations, with exploration agreements in place and negotiations for impact benefit agreements ongoing.
- Exploration Potential: Ongoing drilling will aim to expand the resource and uncover new discoveries.
- Financing Options: Flexible options including equity, debt, royalties, and streaming deals are available for future financing.
- Use of AI: The company is considering using AI to assist in exploration but has not yet implemented it.
Positioned for substantial growth with a robust resource base, fully developed infrastructure, and favorable market conditions for gold, NEXG's strategic focus on production-backed exploration ensures it is well-equipped to take advantage of future opportunities in the gold sector.
For more information, check out the need to know insight from Frank Giustra and his plan for NEXG as detailed at the 2024 Precious Metal Summit: https://www.youtube.com/watch?v=rivswbFfTwA
Posted on Behalf of NexGold Mining Corp.