11-Year Heap-Leach Gold PEA in Nevada, But Can They Actually Build it? | Bravada Gold CEO Interview

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This video is sponsored by Terrahutton, who makes the invisible, investible. Today, I'm the CEO of BBQ, Gold and Silver Mine Development in Nevada, together with Bravada Gold. But if you're short on time, subscribe to our free newsletter, and once a week, we'll send you a five-minute summary of all interviews we put out, resourcetalks.com for a free weekly newsletter. Now, although this company has not paid us for the production of this video, you should still understand that we are not financial advisors, and this is not intended as financial advice. It is a broad, general, and in-person piece of information intended only for those who know and understand the risks of junior mining, of which there are many. Before moving on, read the company's official filings on SitterPlus.ca and do your own due diligence. Pause the screen and read all the disclaimers I've shown you because your capital is at risk. If this isn't clear, go to the last section of this video for a longer explanation of the risks and biases, and do not consume this content if you don't agree with everything said therein. Moving on, Bravada's flagship is the Wind Mountain Gold Project, which is actually in Northern Nevada. It's about 160 kilometers northeast of Reno.

Wind Mountain is a brownfields project today, so it's basically a past producing brownfield site. It's a low-sulfidation epithelial gold and silver system as you would expect, but it's part of the world, and it's now being developed as a shallow open pit heap leach operation. There's existing pits, there's waste dumps, there's road access, there's a power substation there, so that's why I'm calling it a brownfield site.

The latest resource on this project is from this summer, actually it contained about 620,000 ounces of gold equivalent in indicated at about 0.3 grams per ton of gold and 8.5 grams of silver. And about 210,000 ounces of gold equivalent were in third, at only about 0.15 grams per ton, the gold side and 5.4 grams of silver. A PEA was done based on that resource showing the potential for 25,000 TPD run-of-mine heap leach operation, 11-year mine life, about 40,000 ounces of annual production, and 280,000 ounces of silver, so 40,000 gold, 280,000 ounces of silver.

Initial CapEx, they built that out, $100 million. Total project CapEx, about $140 million, giving them an after-tax NPV at a 5% discount at about $415 million US dollars, and a 60% after-tax IRR. All of that is using $3,600 gold and $48 silver.

Now, Bravada is currently drilling. They're drilling about 2,300 meters at Wind Mountain, including 31 shallow holes through the historic waste dumps, which I definitely want to talk about more and try to better understand them later. And they're also doing 16 holes, longer holes. RC though, they're targeting extensions around the pits, while a new metallurgical program is also planned for the fourth quarter of this year. They're gonna be testing stuff like whether the crushing can improve gold recovery and whether silver recovery can be lifted from the current 15% oxide assumption and stuff like that. All of which, by the way, I'm hoping we'll discuss later on in the conversation. Outside of Wind Mountain, Bravada still holds a broader Nevada portfolio, although most of it is secondary to the current development spending. Part of it is also under an option agreement as well. So maybe just a brief update on that in the latter part of the conversation, but definitely not the focus and also not the focus for the company, as far as I could tell, but we'll touch upon it. Now, for some of the numbers in more detail, Bravada Gold Corporation is listed as BVA on the TSX Venture Exchange in Canada, where the average daily volume over the last three months has been about 45,000 units. The 52-week high is $1.31 and a 52-week low is $0.24.

With a $29 million shares outstanding and a $31.5 million market cap, today, this is a $1.05 stock. There are 2.6 million options and 12 million warrants, so the diluted securities represent about 33% of the 43.5 million shares on a fully diluted basis. Last time they raised capital was in June. It was really to accommodate the new CEO. They raised only about $200,000 Canadian dollars at $0.70. No warrants with that financing. And again, that was entirely taken up by Paul, who's here with me, the CEO. He was appointed CEO on June 8th, by the way. So shortly before this financing. They did do a little bit of a bigger financing in February before that. So we'll touch upon that as well, as well as, yeah, how much money have they got left right now? How far does it get them? How are they gonna finance the build out? All the nice and totally not annoying questions about the capital I'm gonna ask later on in the conversation as well. But for this to actually become a conversation, I will have to shut up already. And Paul, I'll give you the word here, but first of all, thank you for standing down with me today.