Nasdaq- and TSX-listed Perpetua is advancing its Stibnite gold project in Idaho, announcing on Thursday the start of detailed engineering and a procurement contract with Idaho Power for powerline materials.

This follows a recently completed basic engineering and updated cost projections for the project, reaffirming its strong economic potential. Perpetua states that the project boasts a $3.7-billion after-tax net present value at a 5% discount rate and an internal rate of return exceeding 27% at current spot prices.

The project's estimated all-in sustaining costs are projected to average $435/oz over the first four years of production and under $760/oz over the mine’s lifespan, making it one of the lowest-cost gold projects in a Tier 1 jurisdiction.

"The Stibnite gold project is among an elite class of gold projects, with industry-leading costs, a world-class reserve of 4.8-million gold ounces, and an annual production profile of approximately 300 000 oz over a 15-year mine life," said Perpetua president and CEO Jon Cherry.

"With the final record of decision published and basic engineering complete, Perpetua looks forward to finalising our few remaining ancillary permits and securing financing to start construction in 2025 to become a reliable source of the critical mineral antimony for defence needs."

As part of its preconstruction activities, Perpetua has signed a procurement contract with Idaho Power for long-lead powerline components.

"We're pleased to partner with Perpetua Resources to power the country’s next major mineral resource project right here in Idaho," said Idaho Power president and CEO Lisa Grow.

"This collaboration not only supports our nation’s economic growth but also strengthens national security by ensuring a stable domestic supply of the critical mineral antimony. Our commitment to providing safe, reliable, affordable energy aligns with Perpetua’s mission to responsibly produce these essential minerals."

The updated financial outlook and engineering progress support Perpetua’s ongoing engagement with the US-Export-Import Bank (Exim). The company received a $1.8-billion letter of interest from Exim in April 2024 under the Make More in America and China Transformational Exports Programmes. Perpetua believes the project’s projected 15% increase in job creation could support a corresponding increase in the financing indication from Exim.

The company expects to make a final construction decision later in 2025.