Lahontan Gold Soars as Santa Fe Project Hits Goldmine

Lahontan Gold is a Nevada-focused developer of gold projects, and it's one of the most exciting companies in the industry right now.

The company has several key assets, including the Santa Fe property in the Walker Lane Trend, which was mined from 1988 to 1995 and produced 359,202 ounces of gold and 702,067 ounces of silver.

In August, Lahontan delivered an updated mineral resource estimate that shows a significant increase in gold-equivalent ounces, with 1.195 million indicated ounces and 1.190 million inferred ounces.

The average grades are 0.78 g/t for indicated and 0.61 g/t for inferred, which is a substantial improvement over the previous estimates.

The company is planning to restart operations at Santa Fe using open-pit mining and heap leaching of oxide ores, with the potential to add higher-grade sulphide ores later on.

Lahontan's CEO, Kimberly Ann, values the project at approximately $472 million after taxes, with an internal rate of return (IRR) of 66.6%, based on a gold price of around $4,000 per ounce.

This is a significant increase from the previous estimate, which was done at a gold price of $1,950 per ounce and valued the project at $200 million after taxes.