Good morning. Thank you for your interest in GoGold this morning. Just to start off with, we're going to make some forward-looking statements here, and just the normal risks in the mining business I'm sure you're aware of. There's always resources, metallurgy, many, many things that can go wrong in mining, but I think the way you try to mitigate that risk is dealing with people who have done it all before, and I myself have been at this for 33 years, 29 years in Mexico, and during that period of time, these are all the companies that I've led along with a very experienced team and of technical. You have to have strong technical people. You have to have strong people who can finance. I've been doing a lot of that over the last 20-plus years as well. We've raised probably in excess of $2 billion in equity.
We've done hundreds of millions of dollars of debt with people like Scotiabank, Bank of Montreal, private equity to build mines and to find ounces. And over that period of time, we built four mines. And we've had a model here where we found private families who had mining assets in the country. And our long-term commitment to the country of 29 years for myself there and most of my team, we've been able to establish those relationships. So buying things like the Ocampo project for initially $15 million and building two mines going to $2.2 billion, Mexgold from a private family for $20 million, selling it for $375 million. Nayarit, it's a small project, but we had a discovery sold it for $80 million in 2010. And then GoGold spent the last 14 years. And hey, we're back at a billion-dollar market cap, Canadian.
As far as the strength of our balance sheet as well, 378 million shares out. We are fortunate in that we have $139 million cash at the end of last quarter. We've been adding to our cash position because we do operate one mine, the Parral Tailings Retreatment Project, and we've been operating that now for 11 years. These commodity prices obviously aren't hurting anybody. The Parral operation, we're making about $3 million a month of free cash flow. That's paying for all our G&A. It's paying for engineering work we're doing on our development asset and adding money to the bank. Being around so long in the market, we have good support of institutional shareholders. We're about 50% institutional. You'll recognize a lot of those names, and that's just part of the list. Management itself owns a lot of the company.
I myself would be the second largest reporting shareholder at about 6%. Now, GoGold, what have we been doing? Typically, what we've been doing over the years, one of them was Santa Gertrudis. That was just an example. We picked up an asset that we saw value in for $9 million. We spent $11 million, and three years later, we sold it for $95 million within GoGold, sold it to Agnico. Parral, our operating mine now, developed new technology there. We've been 11 years of continual production, and as I mentioned, it's making us about $3 million USD a month of free cash flow right now, but the driver of the company is our Los Ricos development asset, and that's in the state of Jalisco. It's about two hours outside of the third largest city in the country, Guadalajara, a city of about 10 million people. Infrastructure is amazing.
We entered this project in March of 2019. Typical way we get into projects in Mexico, relationships, three private individuals who we bought the project from, 25 concessions. We ended up consolidating extra concessions. We're over 40 concessions now. We initiated a big drill program. We did 250,000 meters of drilling and three economic studies. The project is Los Ricos South and Los Ricos North, just to give you an idea of scale. That'd be about 25 miles. We started in Los Ricos South with a PEA, which we've now taken to a definitive feasibility study. We have a resource. We started at zero, but we have a resource now in Los Ricos South of 108 million ounces of measured and indicated and another 16 million ounces of inferred.
We finished that feasibility study, and we took that to just under 100 million ounces of proven probable reserves. Shovel ready to build. We've applied for a permit. I mean, there's a lot of discussion here about permits in Mexico. I'll tell you, we're fully confident that we'll have a permit, and it may be sooner, but we think it's very reasonable at the end of the year we'll have our permit. We're totally committed to Mexico. It's been a great jurisdiction to work in, and we've had great support in Mexico over the years, and our permit is being dealt with at the highest levels right now. So as many of our peers were expecting by the end of the year, we should have our permit. They had a long backlog of permits in Mexico.
They've issued about 80 so far this year of continuing operational permits, and we should have ours by about before the end of the year, we feel, but just to talk a little bit more about the project in Los Ricos South, initially, it's an underground mine. It's 15 years of mine life, primarily about 12 years of that are all underground. At the very end, there's a small open pit at the very top of the deposit. We'll be using hydropower from a local hydro dam. And as I mentioned, we have the feasibility study done, but we've gone beyond the feasibility study. We're in the, really, we've entered the execution phase, and the execution phase means that we're doing detailed engineering. We're doing costing and getting bids on definitive bids and choosing contractors and making some payments on long lead time items.
One of the payments we've made in the last few months has been on our power. We need under 15 megawatts of power, and we've secured that with the local hydro dam. We put $2 million down on a contract of about a little over $7 million to build that power line. Also on the mill, it will be a 2,000-ton-a-day mill. Very straightforward processing. It's heap leaching. We'll produce a doré bar as the final product. We'll produce a little bit of copper here as well. We have a process called SART, which we use at our other operation. That regenerates cyanide, which makes the process cheaper. We'll actually have a small amount of copper production as well. The mine is primarily underground, and it's bulk underground mining. That's the resources. Very good grade, average grade, about 350 grams silver equivalent.
The mine average stope width in the mine is actually 11 meters average. It's a long-hole mine, sub-level long-hole mining, bulk mining, low-cost, very productive mining. We'll be operating about 2,000 tons a day. Now, if you think about that feasibility study, and obviously, it's being rapidly affected by metal price. When it was initially completed, not that long ago, it was $355 million NPV at a 5% discount, about $230 million of initial CapEx, and about a 15-year mine life. Average production, about 7.2 million ounces a year over the mine life. Of course, with the sensitivities, as you see there in front of you, and this is a very fresh study, so operating costs will maybe go up a little bit by the time it's in production, but really, all the numbers are fairly fresh. The big change, of course, is commodity price.
At spot price, I mean, tremendous difference, obviously, $355 million base case, and at spot price today, you're about $860 million NPV. Now, the overall plan here, though I mentioned also Los Ricos North. Los Ricos North has an earlier stage study. It's a PEA. It's open pit. We've been waiting a little bit on seeing the lay of the land in Mexico. We now see, as the president has said, that there will be open pits. Now, we always knew we could build Los Ricos North as underground as well. There will be open pits in Mexico. There will be on a case-by-case basis. All that she's saying publicly is we want to make sure everything is done right. Of course, as a company, that is all we would do and operate at the highest standards.
But Los Ricos North, at an earlier stage study, it is really quite a project in that it projected to produce about 8.8 million ounces a year at an all-in cost of under $12. Los Ricos South, all-in cost under $12. And it'd be an open pit. And we are waiting on that point, but now we're very confident that that's what we're going to go ahead with. And what we're going to do next is we're going to get in there, do the rest of the drilling, infill drilling, and take that to a feasibility study, apply for a permit, and it'll be next to build in the pipeline. So to recap Los Ricos project and the company, I will mention that we're producing about 2 million ounces a year at our operating mine. And free cash flows around plus $35 million a year, U.S.
Los Ricos South adds on about another 7.2 million ounces a year at Los Ricos South at all-in cost under $12. Los Ricos North, everything working well, and we think it will. That by the time we reach commercial production in Los Ricos South, and it's a 24-month build and about a six-month to ramp up to full commercial production, that would add on about another 8.8 million ounces so that we have a pipeline and line of sight to 15-17 million ounces a year. I'll just quickly touch on one other thing. That's what we've been doing for the last 11 years on our Los Ricos project. That's a very unique project in that we've developed in Mexico technology around retreating old mine waste, old tailings.
We're one of the first in the world who've taken an approach that these old tailings with the grade and that they're amenable to cyanide leaching, that we've done something different. We've taken these old tailings and we've designed and we've built and produced from an agglomerated heap leach. Agglomerated heap leaching's not new to mining, but I do believe that we're at the scale we're at, we're the first ones who have applied it to old mine tailings. Why would you do that? It's a low CapEx. Initial CapEx in building this was only $35 million and low OpEx as well. These tailings projects can be built fairly fast. I'm not saying that's the focus of the company.
Obviously, the focus of the company is Los Ricos and what's that going to do to our pipeline and go from two million ounces a year to 15-17. But I will tell you one thing. In Mexico, at the highest levels, and I mean the highest levels in the country, when they refer to us, they refer to us as the company who's building the underground mine, but the company that cleans the tailings. So we do recognize there's a real advantage in that, that we're recognized as not only a producer for an upcoming underground mine, but we're also recognized as developing new technology in Mexico that is cleaning up the environment and solving a problem that they have. On their agenda for this administration, there's 500 old tailings sites in Mexico.
And they're very interested in this and what we have developed, and maybe this is a solution for some of those. So with that, I'll conclude, and thank you for your attention today. And we are available, of course, for any other questions.
Perfect timing. Thank you. Thank you very much.