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Pretium Resources Inc.

Pretium Resources Inc. is creating value through gold at its high-grade, advanced-exploration-stage Brucejack project. Located in northern British Columbia, Brucejack offers the potential for near-term gold production in an area of permitted gold mining. Brucejack hosts a significant, undeveloped, high-grade gold resource. Gold resources in the Valley of the Kings total 4.9 Moz Indicated (8.9 Mmt grading 17.3 g/t gold) and 10.4 Moz Inferred (12.7 Mmt grading 25.5 g/t gold). A feasibility study on the Brucejack high-grade gold opportunity is underway.

Expert Comments:

SmallCapPower.com (2/27/15)
"Although Pretium Resources Inc.'s Brucejack gold project in northern British Columbia isn’t expected to go into production until 2017, the 6.9 Moz probable serves in its Valley of the Kings area grading 15.7 g/t is difficult to ignore. A feasibility study done in June estimates average annual gold production of 504 Koz during the mine's first eight years at all-in sustaining cash costs of just $448/oz using a $1,100 gold price assumption."

"Pretium Resources Inc.'s Brucejack gold-silver project in British Columbia was dogged by uncertainty about the quality of the resource. But we now know it's large and high grade. It will take some engineering to develop a mine plan to optimize recovery, but there's no doubt in my mind that this will ultimately become a very profitable gold mine. There are some challenges with the location, but it's not as if Brucejack will be a huge open-pit operation. The logistics for an underground mine of that scale are manageable in that location. . .any large, high-grade gold deposit is automatically on the list of potential takeover targets. As the company continues to better understand Brucejack, the likelihood of a takeover becomes greater. I really hope that doesn't happen because Pretium's team is capable of building mines and can add a lot more value to the project." read more >

Joe Mazumdar, Canaccord Genuity (2/23/15)
"We are initiating coverage of Pretium Resources Inc. with a Speculative Buy recommendation based on a 12-month risk-adjusted target of CA$9.50, a ~30% implied return to target. . .the Brucejack project falls in the lower portion of our all-in cost profile for gold development projects, and its attractive internal rate of return (20–22%) and payback (4.1 years) are underpinned by the grade profile that in the first decade of full production exceeds the life-of-mine average head grade (>12.5 g/t Au) ranging over 15 g/t Au."

"A company like Pretium Resources Inc. is likely to be taken out in 2015. Takeover targets must be able to demonstrate good actual or potential returns on investment. . .Pretium has a very high-grade deposit, which suggests the ability to be financed. . .my opinion is Pretium wants to mine Brucejack at about 2,000 tpd. If Pretium is taken out, the new owner will do its own feasibility, and will size its own mill, and so forth. It may be totally different from what Pretium is talking about right now. . .Brucejack is exceptionally high grade. Who knows exactly how high? It's difficult to determine reserves or resources from a deposit as nuggety as this." read more >

"One near-term gold project that I like is Pretium Resources Inc. and its Brucejack project in British Columbia. We believe it should complete its financing, get its permits and break ground by the middle of 2015. Companies that go through that transition generally see a significant value-curve adjustment. . .a takeover bid is unlikely until the company has its permits in hand. Pretium has agreements with local First Nations, and new ownership could result in those groups asking for additional permitting requirements or additional review time. The company is certainly acting as though it will finance Brucejack and put it into production itself. Moving forward decisively is certainly the right decision for current shareholders, instead of just waiting for an offer." read more >

Ovais Habib, Scotia Capital (1/19/15)
"Pretium Resources Inc. has closed its previously announced private placements and has issued ~12.8M shares to Zijin Mining Group and ~2.9M shares to certain existing shareholders for gross proceeds of ~$100M. . .Pretium plans to use proceeds from the offering to fund capex for its Brucejack gold project in British Columbia, including procurement of long-lead items and camp infrastructure. Permits to advance Brucejack to the construction stage are expected in H1/15."

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Investing Highlights
 
High-Grade Underground Gold Project in BC
 
Commercial Production Target 2017
 
Located in an Area of Permitted Mining
Pretium Resources Inc. Content