Post by
thseeker1 on Apr 09, 2020 8:33am
PEA news release Highlights:
Gold Rock PEA Highlights
Pre-tax NPV5% of US$49.7M and a 22.8% IRR (after-tax NPV5%of US$32.8M and a 17.8% IRR) at base case gold price of US$1,400/oz Au, with a life of mine cash flow of US$77.2M
At US$1,500/oz Au the Project returns a pre-tax NPV5% of US$78.3M and a 31.5% IRR (after-tax NPV5%of US$55.0M and a 25.4% IRR), with a life of mine cash flow of US$113.1M
Based on a sensitivity analysis at approximately the current spot price of US$1,600/oz Au the Project returns a pre-tax NPV5% of US$106.8 and a 39.7% IRR (after-tax NPV5%of US$77.2M and a 32.5% IRR), with a life of mine cash flow of US$149.0M
The updated resource estimate shows a 69% increase in Indicated resource to 403,000 gold ounces, in addition to the Inferred resource of 84,300 gold ounces, with excellent potential to grow the resource with next phase of planned drilling
Mine life of 6.5 years with life of mine (“LOM”) total gold production of 362,750 oz, averaging 55,800 oz annually
LOM cash costs of US$903/oz Au and LOM all-in sustaining costs ("AISC") of US$1,008/oz Au
Pre-production capital expenditures of $64.6 million, sustaining capital expenditures of $7 million and reclamation costs of $16 million.