Paramount Gold Feasibility Study Raises NPV to $375M, IRR to 39%, Extends Mine Life
PZG•Paramount Gold’s Grassy Mountain update increases recoverable gold by 7% to 385,800 oz, extends mine life to 9.3 years and reports a $374.7M NPV with 38.9% IRR. The upside case lifts NPV to $608.6M with 55.4% IRR and 1.4-year payback; federal approval is secured and state permits close H2 2026.
1. Updated Recoverable Resources and Mine Life
The Study increases recoverable gold by 7% to 385,800 ounces and extends the mine life from 7.8 to 9.3 years based on revised metal price assumptions, cost estimates and an updated mine plan for Grassy Mountain.
2. Base Case Economic Metrics
At a base case gold price of $3,600 per ounce and silver at $48, the project shows an after-tax net present value (5% discount) of $374.7 million, an internal rate of return of 38.9% and a payback period of 2.2 years.
3. Upside Case Economics
Under an upside scenario assuming $4,618 gold and $74 silver, the after-tax net present value rises to $608.6 million, the IRR to 55.4%, and the payback period shortens to 1.4 years, highlighting leverage to higher metal prices.
4. Permitting and Next Steps
Grassy Mountain received federal Record of Decision in January 2026, and state permits are in final stages with approval anticipated in the second half of 2026, clearing the way for a potential construction decision upon issuance.
