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G Mining Ventures charts path to become an intermediate gold producer
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(Kitco News) - G Mining Ventures’s Tocantinzinho Mine will be a stepping stone on the path to becoming an intermediate gold producer, said CEO Louis-Pierre Gignac.
In mid-July Kitco Mining spoke to Gignac at the Rule Symposium Natural Resource Investing 2023 show held in Boca Raton, Florida.
G Mining Ventures (TSXV:GMIN) is targeting commercial production for the second half of 2024. When the company’s Tocantinzinho Mine is operational, it will be Brazil’s third-largest primary gold mine. The feasibility study shows average production of 175,000 ounces per annum at an all-in-sustaining cost of $681 per ounce. The after tax NPV is 5% of $622 million and an IRR of 24%.
G Mining says that the mine has local support. The mine is fully permitted, and the operation will be environmentally friendly with over 80% of its power coming from renewables. The infrastructure is good with a 108 km all-weather road.
Importantly, the management team has done it before having built four successful mines in South America. The team also has skin in the game. The Gignac family and insiders own 8% of the company with over $17 million invested to date in an all-equity purchase.
Gignac was also a runner-up in Kitco Mining’s CEO Of The Year 2022.
“For us this is really our first asset, our single asset,” said Gignac. “We see it as a stepping stone to becoming the next intermediate gold producer. We're very focused on M&A, opportunities to bring additional assets in, and…with this land package we have lots of exploration upside.”
Kitco Mining’s coverage of the Rule Symposium Natural Resource Investing 2023 was sponsored by G Mining Ventures.
