Gold volatility

1. A mine costing $275 will produce 1 ounce of gold on the day the cost is paid. Gold volatility is zero. What is the value of the mine?
2. A mine costing $1000 will produce 1 ounce of gold per year forever at a marginal extraction cost of $250, with production commencing 1 year after the mine opens. Gold volatility is zero. What is the value of the mine?