Rocket lit .... US$657 Million NPV%5 Here is a little update from Red Cloud !!!!!!!!!!!!!
Strong Au and Ag price environment. The gold price is currently sitting around US$2,650/oz after ticking steadily higher since the beginning of the year. We expect the gold price to be supported by continued rate cuts by the US Fed, a cooling labor market in the US, and safe-haven demand given ongoing conflicts in Europe and the Middle East. Uncertain times are ahead in the lead up to the US Presidential Election in November, which should also help bolster the gold price. Meanwhile, the silver price has broken out from the US$23/oz level during H1/24 and is currently sitting at ~US$31.25/oz. The gold:silver ratio is now at ~85:1. At current levels (using US$2,650/oz Au and US$31.50/oz Ag), our NPV5% for the Tonopah West project jumps to ~US$657.0M – a 65% increase over our estimate of US$397.6M using our commodity price deck assumptions of US$2,000/oz Au and US$25/oz Ag. This demonstrates the significant leverage the project has to the silver and gold prices.
Come on ... I'm taking a free ride with the rest of the crowd !!!!! GLTA Longs.