In Brazil, on Tuesday, Belo Sun Mining fell by 37%, investors responded in negative way to possibility study for its Volta Grand project. At mid-morning on Tuesday Toronto based Company made a slight recovery, but still down by 23.6%.
Belo Sun’s value is $180 million on the Toronto big board and after Tuesday’s decreases fell 58% in 2013. Volta Grand in Para state, cost is $750 million to build with projected every twelve months gold production of 313,000 ounces over a 10 year life period.
If the gold price is at $1,450 an ounce, Voltage Grand’s value will be at $935 million, but supposing there may be 5% discount rate its will drop to $474 million. Volta Grande, Brazil’s biggest gold mine in development, has appealed penetrating inquiry from Brazil’s federal authorities during the permitting process.
A Brief about the Company:
Belo Sun owns 100% of Volta Grande, enlarged its property position to 1,305 sq. km from 195 sq. km in 2011. The provocative mine in the Volta Grande do Xingu area is to be built near lands of the native Xingu people and 14 km away from the Belo Monte hydroelectric dam, an correspondingly environmentally sensitive project now under construction.