The last two projects here, Cozamin, our most recent acquisition. We had our initial revenue recognized from the Cozamin mine in the quarter, included in our total revenue and option proceeds adjusted figure and they’re looking to continue their exploration efforts, specifically at the Footwall Zone, which is directly underneath our royalty coverage area. So we’re quite encouraged by the continued strong performance at Cozamin, which is currently planned out till 2030 based on reserves alone, but also for the potential for this asset to grow, and they’re expected to publish an updated resource estimate in early 2024. Finally, the Granite Creek Mine project, i-80 provided an operational update on the assets earlier this fall on October 11th.
The focus here has been ramping up the underground production from the Granite Creek Mine underground. It achieved 592 tonnes per day of mineralized material production, but they’re targeting closer to 1,000 tonnes per day in 2024. A key area of upside and continued exploration success is the South Pacific Zone, which is currently free resource and we’re excited to see the South Pacific Zone have a resource delineated on it and be included as the mines may rise in 2024 for development and potential future production. Beyond those six core assets, we now have or expect to have over 240 royalties across the portfolio, and there are various other advancements and exciting catalysts, but those were some of the key material pieces of progress that we saw in the Gold Royalty portfolio in Q3.
As a reminder, we had 700,000 meters of drilling in 2022 and expect to see over 600,000 meters of drilling across the portfolio in 2023, all at no cost to both Royalty Corp. We don’t see the immediate benefit of a lot of that drilling and translates into growing resources derisking of these assets. But it’s that type of investment that will continue to grow our portfolio throughout the remainder of the decade. Finally, a comment on our commitment to sustainability. I think as represented in our most recent acquisitions, we’ve placed a strong emphasis on our ESG-related due diligence and our sustainability-focused due diligence. Cozamin, an established operation with good social license and Capstone, a reputable operator that has a track record of the same commitment to sustainability that Gold Royalty has.
And the SOQUEM portfolio really does fit our core strategy, aligning with partners or vendors that have those same views as us and SOQUEM is a perfect example of that. So, with that, I’d pass it back to Dave to wrap things up, we’ve had a great quarter, and we can open things up for Q&A as well to address your questions.
David Garofalo: Thanks very much, Peter. So, just to wrap up, as Peter said, significant intrinsic value in the portfolio, the target price on the stock across the seven analysts that cover us, and that’s a remarkable sell-side research coverage for a relatively young company, is about $4.25, $4.25 per share. Our consensus net asset value is about $3.30 per share, so more than double where our current share price is currently. So significant intrinsic value in a sector that’s facing cost pressures. And I’m talking among the producers, significant capital expenditure pressures, significant operating cost pressures, declining reserves and production, which has driven M&A, which I think has demonstrated over time, that’s a zero-sum game.
It doesn’t create value in the sector. It just maintains current production and reserve profiles, but doesn’t create per share value. We’re very much focused on going through multiple means, as I said, through M&A, through project financing, through third-party royalty acquisition and royalty generation organically as well, which delivers value on a per share basis. Providing leverage to the gold price, while protecting you from inflation, leverage to the exploration success of our underlying operating partners who are investing north of $200 million per year on our portfolio to which we’re contributing nothing. So, optimum leverage of the gold price, significant intrinsic value, significant value, because frankly, the royalty companies have been tarred with the same brush as the operating companies.
And there’s been an exodus of capital out of the gold sector that’s resulted in significant underperformance of equities to the gold price, but I think it’s well overdone in the royalty sector, where I think there’s significant value, and in particular, in the Gold Royalty stock. So, with that, we’ll be happy to take any Q&A, Joanne.
Joanne Jobin: Excellent. Thank you very much for that update, gentlemen. That was fantastic. We’ve got a lot of people online, and there’s lots of questions to be asked. So, let’s go to our first one and it’s regarding expenses. Can you hold expenses in 2024, a big part of the stock price underperformance may be the small-cap nature of the stock and the lack of profitability, what kind of profitability can you drive next year if you meet your revenue targets?
Andrew Gubbels: Thanks, Joanne, I could take that one.
