Geomechanics.io

  • Free Tools
Sign UpLog In
Built byBoxcut Studio

Geomechanics.io

Geomechanics, Streamlined.

© 2026 Geomechanics.io. All rights reserved.

Geomechanics.io

CMRR-ioGEODB-ioHYDROGEO-ioQCDB-ioFree Tools & CalculatorsBlogLatest Industry News

Industries

MiningConstructionTunnelling

Company

Terms of UsePrivacy PolicyLinkedIn
    Projects

    Orla Mining’s Camino Rojo underground PEA: economics and de-risking notes for mine planners

    February 20, 2026|

    Reviewed by Joe Ashwell

    Orla Mining’s Camino Rojo underground PEA: economics and de-risking notes for mine planners

    First reported on MINING.com

    30 Second Briefing

    Orla Mining’s PEA for the Camino Rojo underground project in Zacatecas outlines a standalone sub-pit operation with dedicated crushing, grinding and flotation circuits, projecting 215,000 oz/y gold over the first 10 years at an AISC of $1,304/oz. The study shows an after-tax NPV of $1.3 billion and 30% IRR at $3,100/oz gold, rising to $3.3 billion and 61% IRR at $5,000/oz, with an NPV-to-initial-capital ratio of 5.5:1. A de-risking programme through 2026 will include an exploration decline and staged underground drilling ahead of a 2027 pre-feasibility study.

    Technical Brief

    • Underground project is sited directly beneath the existing Camino Rojo open pit heap leach operation.
    • Current Camino Rojo mine life is 10 years, with Q3 2024 production of 43,788 oz gold.
    • Since 2020, 110,000 m of drilling have defined >4 Moz AuEq measured and indicated underground resources.
    • Drilling has delineated higher-grade zones and extended mineralisation at depth into the newly defined Zone 22.
    • Zone 22 remains open, providing upside for further resource expansion and potential mine-life extension.
    • Orla targets a 2027 pre-feasibility study to convert the PEA concept into a construction-ready underground plan.

    Our Take

    With Orla Mining now at about US$6 billion in market capitalisation on the TSX/NYSE, Camino Rojo sits in a different peer group from the TSX Venture gold names in our recent coverage, where even standout performers like Santacruz Silver and Ucore Rare Metals were re-rated off much smaller bases.

    The phased de‑risking of the Camino Rojo underground through 2026, ahead of a 2027 pre‑feasibility, mirrors what larger gold operators such as Agnico Eagle have been doing in Sweden’s Barsele project, signalling that mid‑tier and major gold players are favouring staged underground optionality over greenfield builds.

    An after‑tax NPV to initial capital ratio of 5.5 at higher gold prices suggests Camino Rojo underground could remain competitive even if long‑term gold assumptions are trimmed, which is notable in Mexico’s Zacatecas region where underground expansions often need robust margins to offset depth, water and ground‑control costs.

    Geotechnical Software for Modern Teams

    Centralise site data, logs, and lab results with GEODB-io, CMRR-io, and HYDROGEO-io.

    No credit card required.

    • Save and export unlimited calculations
    • Advanced data visualisation
    • Generate professional PDF reports
    • Cloud storage for all your projects

    Prepared by collating external sources, AI-assisted tools, and Geomechanics.io’s proprietary mining database, then reviewed for technical accuracy & edited by our geotechnical team.

    Related Articles

    Fortescue copper–arsenic Toowong Process: project economics lens for mine planners
    Mining
    about 5 hours ago

    Fortescue copper–arsenic Toowong Process: project economics lens for mine planners

    Fortescue has sold more than 40 tonnes of copper concentrate treated with its patented Toowong Process, a low-temperature, low-pressure hydrometallurgical circuit that removes arsenic from copper concentrates. Developed and tested over four years after Fortescue acquired the technology, the process targets a longstanding penalty element constraint that limits saleability of high-arsenic ores. Commercial deployment could materially change project economics for arsenic-rich copper deposits, enabling miners to convert previously marginal or stranded resources into exportable concentrate streams.

    Core’s Finniss lithium: 92 m Blackbeard hit and what it means for mine design
    Mining
    about 5 hours ago

    Core’s Finniss lithium: 92 m Blackbeard hit and what it means for mine design

    Core Lithium has reported its longest mineralised downhole intersection at the Blackbeard prospect within the Finniss lithium operation in the Northern Territory, with diamond drillhole NMRD104 returning 92m at 1.25 per cent Li₂O, including 73m at 1.45 per cent Li₂O. The thick, continuous spodumene-bearing pegmatite materially extends known mineralisation at depth and along strike, improving the potential for larger, more coherent underground or bulk open-pit mine designs. For resource modellers and geotechs, the interval supports tighter geological domaining and may justify updated pit shells and geotechnical slope assessments.

    South32 Australian manganese output lift: throughput takeaways for mine planners
    Mining
    about 5 hours ago

    South32 Australian manganese output lift: throughput takeaways for mine planners

    South32 lifted Australia Manganese saleable output 15 per cent quarter-on-quarter to 902,000 wet metric tonnes in the September 2026 quarter, driven by higher utilisation of the primary processing circuit, while keeping full-year production guidance unchanged across its operations. Alumina production also increased, and the company is continuing capital deployment into base metals growth projects, including copper and zinc developments. For mine planners and process engineers, the numbers signal more stable plant throughput assumptions and sustained demand for processing circuit optimisation and debottlenecking work.

    Related Industries & Products

    Mining

    Geotechnical software solutions for mining operations including CMRR analysis, hydrogeological testing, and data management.

    Construction

    Quality control software for construction companies with material testing, batch tracking, and compliance management.

    CMRR-io

    Streamline coal mine roof stability assessments with our cloud-based CMRR software featuring automated calculations, multi-scenario analysis, and collaborative workflows.

    HYDROGEO-io

    Comprehensive hydrogeological testing platform for managing, analysing, and reporting on packer tests, lugeon values, and hydraulic conductivity assessments.

    GEODB-io

    Centralised geotechnical data management solution for storing, accessing, and analysing all your site investigation and material testing data.

    AllGeotechnicalInfrastructureHazardsEnvironmental