Cerrado: Unlocking Value in Undervalued Assets

Exploring the Potential of Lagoa Salgada VMS Project

Cerrado is a company focused on building undervalued world-class assets to drive significant cash flow. One of their most attractive opportunities is to acquire 80% of the robust Lagoa Salgada VMS Project, which boasts a Post-tax NPV of US$147 million and a 39% IRR in the current Feasibility Study. This project not only offers substantial precious metals and critical minerals exposure, with 34% silver & gold, 30% zinc, 15% copper, 14% lead, and 7% tin, but it also promises to deliver the lowest-cost quartile production with a US$0.59/lb Zinc Equivalent All in Sustaining Cost (AISC) for the first 5 years.

What makes the Lagoa Salgada project even more compelling is its underexplored nature, which presents significant exploration potential. Cerrado is set to release an optimized Feasibility Study in Q3, with a construction decision expected by year end 2025 and initial production slated for the second half of 2027.

How Will This Impact Me?

As an investor, acquiring a stake in the Lagoa Salgada project through Cerrado could provide you with a unique opportunity to tap into a high-value asset with promising returns. With the project’s potential to deliver significant cash flow and exposure to a diverse range of precious metals and critical minerals, it offers a compelling investment proposition.

How Will This Impact the World?

Cerrado’s focus on developing undervalued assets like the Lagoa Salgada project not only has the potential to generate returns for investors but also to contribute to the global supply of precious metals and critical minerals. As these resources play a vital role in various industries, including technology, renewable energy, and infrastructure development, the successful development of projects like Lagoa Salgada could have a positive impact on meeting the growing demand for these resources worldwide.

Conclusion

In conclusion, Cerrado’s strategic focus on building undervalued assets like the Lagoa Salgada VMS Project reflects a commitment to unlocking value and driving significant cash flow. With its promising returns, underexplored potential, and diverse exposure to precious metals and critical minerals, the project presents an attractive opportunity for investors and has the potential to make a positive impact on the global supply of essential resources.