Gold ETF Addition Strengthens Idaho Projects Market Position

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Perpetua Resources Corp. (PPTA:TSX; PPTA:NASDAQ)has announced its inclusion in the Market Vectors Junior Gold Miners Index and the VanEck Junior Gold Miners ETF (GDXJ), effective at market close on March 21, 2025. The GDXJ is a widely recognized exchange-traded fund that tracks small-cap companies primarily engaged in gold and silver development and mining. The addition of Perpetua Resources to the index reflects the company's role in the gold sector and its ongoing advancement of the Stibnite Gold Project in central Idaho.

The inclusion in the GDXJ is expected to increase the liquidity of Perpetua's common shares and broaden its investor base. "We are excited to be included in the VanEck Junior Gold Miners ETF, a milestone that reinforces the investment case for Perpetua Resources," said Jon Cherry, President and CEO of Perpetua, in the company's announcement. "This inclusion reflects the hard work and dedication of our team and positions Perpetua to attract a broader base of institutional and retail investors. As we continue to advance the Stibnite Gold Project and execute on our strategy, we look forward to building on this momentum."

Perpetua Resources is focused on the redevelopment and environmental restoration of the Stibnite Gold Project. The project encompasses one of the highest-grade open-pit gold deposits in the United States and aims to provide the only domestically mined source of antimony, a critical mineral used in defense and energy storage applications. The project has received a US$59.2 million Technology Investment Agreement under the Defense Production Act Title III to support construction readiness and permitting. With its inclusion in the GDXJ, the company gains further visibility among investors interested in responsible gold mining and strategic mineral development.

Gold Holds Strong Above US$2,900 as Tariffs and Economic Uncertainty Drive Safe-Haven Demand

A February 25 analysis from 321Gold pointed to tariff policies as a key driver of market uncertainty, reinforcing gold's status as a safe-haven asset. The report indicated that stagflationary pressures from tariff-driven inflation had further strengthened investor interest in gold. Stewart Thomson emphasized that "tariff taxes are generally positive for gold," aligning with expectations that protectionist policies could lead to a prolonged period of elevated gold prices.

On March 5, Reuters reported that gold remained above US$2,900 per ounce, despite a slight pullback as investors awaited U.S. payroll data. Concerns over tariffs continued to drive gold's appeal, with President Trump's latest announcements on trade restrictions keeping investors cautious. Daniel Pavilonis, senior market strategist at RJO Futures, stated, "If [payroll] numbers come out bullish, then gold takes off, and we get pretty quick to US$3,000, if not higher." The report noted that gold had reached 11 record highs in 2025, peaking at US$2,956.15 on February 24.

According to a March 13 research note from ROTH Capital Partners, Perpetua Resources remained a "Buy" with a 12-month price target of US$19 per share.

According to a March 11 report from Kitco, gold futures rose significantly as investors sought safe-haven assets in response to heightened market uncertainty stemming from new tariff measures. Gold climbed US$23.60 (0.81%) to US$2,923.10 for the most active April contract.

The dollar's weakness contributed to the metal's rise, with the dollar index falling to its lowest level since November 2024. Analysts noted that escalating trade measures had intensified concerns about a potential U.S. economic downturn, further strengthening gold's position as a hedge against volatility.

Gold prices reached a new record high, surpassing US$3,000 per ounce, as heightened geopolitical tensions and economic uncertainty continued to drive investor demand for safe-haven assets. According to Stockhead on March 18, the price surge coincided with market volatility, with the ASX experiencing fluctuations following a decline in U.S. stock futures. The report highlighted that investor sentiment remained cautious as global trade concerns persisted, reinforcing gold's role as a hedge against uncertainty.

Analysts See Strong Upside Potential for U.S. Gold-Antimony Developer

According to a March 13 research note from ROTH Capital Partners, Perpetua Resources remained a "Buy" with a 12-month price target of US$19 per share, reflecting a 106% potential return from its trading price of US$9.22 at the time. Analyst Mike Niehuser stated, "We view financing by EXIM to be the optimal source of debt financing," noting that the terms could be more favorable than conventional financing.

Niehuser reiterated that the Export-Import Bank of the United States (EXIM) had previously expressed interest in providing US$1.8 billion in debt financing for the Stibnite Gold Project based on feasibility studies outlining project viability, job creation, and capital expenditure needs. He noted that Perpetua had since updated its capital requirements to US$2.215 billion, accounting for inflation, contract adjustments, and optimization strategies. ROTH expected EXIM to fairly review the revised figures, given President Trump's executive orders prioritizing domestic critical mineral supply chains.

The report also highlighted the growing global antimony deficit, exacerbated by China's restrictions on exports of antimony trisulfide to the U.S. and its allies. Niehuser described the Stibnite project as "a critical potential source of antimony for the U.S.," emphasizing its strategic importance in reducing reliance on foreign suppliers.

Perpetua was expected to submit its debt financing application to EXIM within weeks, with a decision anticipated within 45 days of completion. "In our opinion, Perpetua may close financing mid-year and move into construction, with production commencing in late 2028," Niehuser wrote. ROTH also indicated that, following EXIM approval, the company could explore additional funding sources, including equity, grants, and monetization of potential revenue streams, to cover full construction costs.

With 70.17 million shares outstanding and a market capitalization of US$644.83 million, Perpetua had traded within a 52-week range of US$3.94 to US$12.80 per share. ROTH's analysis underscored its confidence in the company's long-term value as it progressed toward financing and development milestones.

Upcoming Milestones Position Perpetua Resources for Growth in Gold and Antimony Markets

Perpetua Resources' investor presentation highlights several upcoming milestones that may impact its market position. In early 2025, the company anticipates receiving its Final Record of Decision, a key permitting milestone necessary for project development. Ancillary permits and project financing are expected to be formalized in the first half of the year, setting the stage for a construction decision. The company has projected initial gold production to commence in 2028.

The Stibnite Gold Project is designed to integrate environmental restoration with mining operations, including efforts to reestablish fish migration and remove historical tailings. Perpetua Resources has also entered into a supply agreement with Ambri, a U.S.-based battery company, to provide antimony for liquid metal batteries, contributing to the clean energy transition.

Additionally, the company's financing strategy includes potential funding support from the Export-Import Bank of the United States (EXIM), which has indicated up to US$1.8 billion in potential financing. This funding, if secured, would provide significant capital for project development and further strengthen Perpetua's competitive positioning in the gold sector.

With its addition to the GDXJ and a series of upcoming developments, Perpetua Resources continues to advance its role in the mining sector, positioning itself as a key player in domestic gold and antimony production.

Ownership and Share Structure

According to Refinitiv, management and insiders own approximately 0.50% of Perpetua, and institutions own about 63.52%.

Top institutional shareholders include Paulson & Co at 35.30%, Sun Valley Gold LLC with 4.23%, Sprott Asset Management LP with 3.98%, Kopernik Global Investors LLC with 3.60%,  and Sprott Asset Management USA Inc at 3.16% reported by Refinitiv.

Of insiders, Chief Financial Officer Jessica Marie Largent owns 0.14%, former President and CEO Laurel Sayer owns 0.13%, and Director Chris Robinson owns 0.09%.

Refinitiv reports that there are 73 million shares outstanding and 64.19 million free float traded shares. The company has a market cap of US$807 million and trades in a 52-week range between US$3.78 to $13.23.