GoGold Fully Funded: Los Ricos South Construction Starts - Path to 17 Moz

Mining Network Jul 14, 2026

Summary

GoGold holds $284 million in cash against roughly $250 million of updated capex, funding the Los Ricos South silver-gold build in Jalisco debt-free.

The CEO guides to $12-15 AISC (All-In Sustaining Cost — what it really costs to produce an ounce), a margin that holds up if prices fall.

Permits are secured, detailed engineering is 80% complete and the SAG mill is ordered, so the 24-month build could finish early.

Output is slated to rise from about 2 million ounces (Moz) silver-equivalent to 9 Moz, then 15-17 Moz once Los Ricos North is built.

Management calls the district generational: 15 years of planned reserves plus untested old workings and targets such as San Pedro Alco.

The guest uses First Majestic as the scale comparison for GoGold's district plan: at 15-17 Moz silver-equivalent a year, GoGold would produce about half or a little more of First Majestic's output.
He cites First Majestic at roughly a $10 billion US market cap with costs including G&A around $30 per ounce of silver, a cost level GoGold does not have today.

The guest names Hecla as a good comparable because its cost of production is very low, and says GoGold aspires to reach those cost levels over time.

The CEO says the permitted Los Ricos South build is fully funded from cash — $284 million US at end-June against a $227 million study capex, around $250 million after 8-10% Mexican mining inflation — so no debt is needed.
Groundbreaking is set for August with 80% of detailed engineering done, the SAG mill already ordered (a 54-week lead item) and the underground contract awarded, and the CEO says first pour could come ahead of the 24-month study schedule.
The company lays out a path from about 2 Moz silver-equivalent a year at Parral (best quarter since 2021) to roughly 9 Moz with Los Ricos South, then 15-17 Moz once Los Ricos North adds another 8.8 Moz, at about $12 all-in sustaining costs.
The CEO values the company at over $4 billion at spot commodity prices — Los Ricos South NPV above $1.3 billion, about $2.5 billion for the projects, plus roughly $280 million cash and a Parral NPV over $200 million — against a market cap near $950 million.
The district holds 15 years of planned production in reserves plus untested targets — San Pedro/El Nalco about 10 km away and unexplored artisanal ground northeast of the river — while drilling at the North aims to convert a PEA resource (60% indicated, 40% inferred) over the next 6-9 months.

Top takeaway Langille argues Los Ricos South is a de-risked, fully funded build: $284 million in cash at end-June versus about $250 million of expected capex, no debt, 80% of detailed engineering complete and long-lead items already ordered.
He argues the project can repay its capex about twice over, with the first 18 months underground generating close to half a billion dollars of after-tax free cash flow while Parral keeps producing cash during the build.
He lays out an aggressive district timeline: a definitive feasibility study for Los Ricos North in about 9 months and its permit application inputs in about 6, then moving the build team north after first pour to reach 15-17 Moz silver-equivalent a year.
He argues the shares are mispriced — more than $4 billion of NPVs and cash at spot versus a market cap near $950 million — and sees a path to 3-4x at lower relative risk than earlier-stage companies.
He says Los Ricos is a generational district, expects faster permitting under Mexico's new president, and says the $12 all-in cost margin insulates the company if commodity prices fall.