White Gold Corp.'s Maiden PEA Shows Strong Economics for Yukon Mine

White Gold Corp., a Canadian mining company, has released a preliminary economic assessment (PEA) for its flagship White Gold Project in Yukon's traditional territory. The PEA outlines an open-pit mining operation that could produce 188,000 ounces of gold per year over a nine-year mine life, with average annual production peaking at 223,000 ounces during the first five years.

The base-case scenario assumes a $3,600 per ounce gold price and yields an after-tax net present value (NPV) of $1.9 billion, an internal rate of return (IRR) of 38%, and a payback period of just 1.7 years. At $4,500 per ounce, the NPV increases to $2.996 billion with an IRR of 52%.

The PEA highlights strong cash generation potential, with life-of-mine after-tax free cash flow averaging approximately $280 million per year. The project's cost structure is also efficient, with life-of-mine cash costs estimated at $1,290 per ounce and all-in sustaining costs at $1,480 per ounce.

David D'Onofrio, CEO of White Gold Corp., stated that the PEA represents a significant milestone for the company. He noted that the project has strong economics and significant growth potential, with numerous opportunities to extend mine life, increase annual production, and improve project economics through further studies.