Crucitas Mine in Costa Rica: Key Figures

Infinito Gold, owner of the strip mining project "Crucitas" in Costa Rica, presented investors details of the controversial $66 million mine.

Monday, September 7, 2009

The company reviewed the mine's total gold output at 940.000 ounces, raising the Net Present Value of the project to $127 million.

For projecting cash flows, Infinito used a price of $750 per gold ounce, and estimates a mining cost of $342.50 per ounce, which is "very competitive", according to the company.

Cash flow before taxes and capital expenses (CAPEX) would be $356 million, and $200 million after taxes and CAPEX, making the project "very attractive and economically feasible".

An article in Costa Rican news site Elpais.cr lists the benefits the country would obtain with the mine, according to Infinito: "260 direct jobs... $30 million in salaries, $10.5 million in social security, $83.8 million in corporate taxes and $14 million in mining canon".

More on this topic

Everybody Wins, Nobody Loses ... Except You and Me

February 2014

The money that the State of Costa Rica will lose in the dispute over the failed concession of the Crucitas mine will come from taxpayer's pockets.

Editorial

During the 20 year period of the soap opera that is Crucitas gold mine, none of the individuals who are involved in one way or another have suffered any financial loss and many, on the contrary, have seen an increase in their income and their bank accounts.

International Litigation Over Mine in Costa Rica

February 2014

Infinito Gold is suing for $94 million lost due to violations of the agreement for the promotion and protection of investments between Costa Rica and Canada.

Industrias Infinito confirmed that its parent company, Infinito Gold, has filed a law suit against Costa Rica at the International Centre for Settlement of Investment Disputes (ICSID) seeking compensation as a result of their investments in the canceled mining project of Crucitas.

Crucitas Mine, Legal Uncertainty and Foreign Investment

November 2010

A 15-year, $127 million investment was suddenly halted by a court canceling a mining concession to Industrias Infinito in Costa Rica.

On Wednesday a court ruled that there were irregularities in the issuance of permits awarded to the Canadian mining company for exploiting a gold mine, and decided to annul the concession.

Costa Rican Court Cancels Las Crucitas Mining Concession

November 2010

A local court ruled to annul the concession previously granted to Industrias Infinito, and ordered the company to pay compensatory damages.

The court ordered the Costa Rican State and Industrias Infinito to pay environmental damages.

An article in Elfinancierocr.com noted that the ruling is not definitive, as another court (Sala Primera), must first resolve an appeal by Industrias Infinito.

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Organization that operates in Nicaragua.
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