Tesoro Gold has released favorable results from its scoping study for the El Zorro Project located in Chile. The study outlines a conventional open-pit mining operation anticipated to produce over 1.2 million ounces of gold over a span of 15 years. This project is expected to yield significant profit margins and a quick return on investment, alongside opportunities for future growth.
Production and Financial Projections
The scoping study builds upon the mineral resource estimate (MRE) from August 2025, which complements the project’s viability. It assumes a throughput of 3 million tonnes per annum and indicates a steady production rate of approximately 111,000 ounces per year during the first nine years of operation.
Tesoro Gold has modeled the project under two distinct pricing scenarios: a base case at US$2,750 per ounce and a spot case at US$3,300 per ounce. Under these assumptions, the project is projected to deliver post-tax net present values of US$663 million for the base case and US$966 million for the spot case. Additionally, the internal rates of return are estimated at 51% and 68% respectively, indicating strong economic potential.
Capital Investment and Future Prospects
To initiate the project, Tesoro Gold will require an upfront capital investment, which is currently being evaluated. The positive financial outlook, combined with the robust production profile, positions the El Zorro Project as a compelling opportunity in the gold sector. As market conditions evolve, the potential for further exploration and development remains a key focus for the company.
The results of the scoping study signify a critical step forward for Tesoro Gold, as it seeks to enhance its presence in the mining industry and leverage the promising attributes of the El Zorro Project. With the groundwork established, the company is well-positioned to advance towards further stages of development and operational planning.
