Canadian explorer Desert Gold Ventures is poised for a transformative phase as its SMSZ project in Mali advances toward construction following a promising preliminary economic assessment (PEA). The study reveals robust metrics: a post-tax NPV of $24 million at $2,500/oz gold, soaring to $54 million at current prices ($3,366/oz), with a 34% IRR (64% at spot prices). Annual production of 5,500 ounces from 2026 could generate $18.5 million in revenue, backed by low sustaining costs of $1,352/oz. The modular two-phase plan—starting at Barani East before expanding to Gourbassi—limits initial capital to $15 million while retaining untapped capacity (permitted for 36,000 tons/month vs. planned 18,300 tons).
Strategic Expansion in West Africa
The company is diversifying into Ivory Coast’s Tiegba project, securing 90% of a 297 sq km concession near major mines. Early soil samples show high-grade gold (900+ ppb), hinting at untapped potential. Despite a modest $12.5 million market cap—fractional compared to peers like Barrick Gold—Desert Gold’s valuation appears undervalued, with 45% insider ownership and only 10% of SMSZ’s 440 sq km area assessed. Investors await execution as rising gold prices amplify the project’s upside.
Ad
Desert Gold Ventures Stock: Buy or Sell?! New Desert Gold Ventures Analysis from November 6 delivers the answer:
The latest Desert Gold Ventures figures speak for themselves: Urgent action needed for Desert Gold Ventures investors. Is it worth buying or should you sell? Find out what to do now in the current free analysis from November 6.
Desert Gold Ventures: Buy or sell? Read more here...
