Hammerdown FS Compared with MAE/Point RousseThese calculations are proivided in the Table below..
Notes..ALL VALUES IN CANADIAN DOLLARS
1.....Hamnerdown stats from 2022 FS
2....Annual Production of 50,000 ounces per year
3..Total Production increases to 310,000 ounces from 250,000 ounces
4..LOM increased to 6 years by adding 10,000 ounnce/year from Point Rousse
5..milling rate increased by 950,000 tons to include Point Rousse
6..Trucking unit costs diminished by distance to 71 % of MAE ( 100 km / 140 km )
7..Initial capital costs reduced by $65 million..due to point Rousse having all mining and milling facilities
8..Initial Capital of $10 m to include Hammerdown start up facilities including admin bldg etc and includes closely driled definition drilling @ $150 per m to reduce mining dilution at Hammerdown mine.
9...this is initial scoping of Merger but accurate enough to demonstrate considerable more upside of merging the two mining assets..aprox $150 million extra in free cash flow.
10....assuming operating sufficiency of contingency and sustaining capital , cash to the bottom line after 6 year of mining would be in excess of $400 millon.
Everyone should review in detail the statistics on which the input and output results are computed in the table below..
Only when fully reviewed and revised as appropriate, should this table pasted on the MAE Board
Tks
| | MAE | Merged | Merged | |
| POG ( $cad ) | $2200.00 | | | |
| Mine Life ( Yrs ) | 5 | | 6 | |
| ROM Ore Prod | 1895 | | 2850 | |
| ROM Gold Grade | 4.46 | | 4 | |
| Mill Throughput (TPD ) | 700 | | 1250 | |
| Mill Recovery | 95 | | 94 | |
| tons milled | 1890 | | 2550 | |
| Gold Produced | 250000 | | 310000 | |
| Average Annual Production | 50000 | | 50000 | |
| | | | | |
| Mining Costs$/t | $4.49 | $4.49 | $13.0m | |
| Mineral Process/t | $48.06 | $48.06 | $122.5 m | |
| Trucking | $25.50 | $18.10 | $43.5 m | |
| G & A | $12.04 | $12.04 | $31.5 m | |
| Contiungency | $25M | | $25m | |
| Total Initial Capital | $75 m | | $10 m | |
| Cash costs | $280 m | | $ 245.5 m | |
| Cash costs/0z | $1120.00 | | $820.00 | |
| Total Sustaining capital | $5.0m | | $5 m | |
| Total Costs | $285m | | $250.5 m | |
| AISC/oz | $1140.00 | | $835.00 | |
| Average Annual Free Cash flow | $53 m | | $68 m | |
| Payback Period | 1.7 | | <1.0 | |
| | | | | |
| | MAE | Merged | Merged | |
| POG ( $cad ) | $2200.00 | | | |
| Mine Life ( Yrs ) | 5 | | 6 | |
| ROM Ore Prod | 1895 | | 2850 | |
| ROM Gold Grade | 4.46 | | 4 | |
| Mill Throughput (TPD ) | 700 | | 1250 | |
| Mill Recovery | 95 | | 94 | |
| tons milled | 1890 | | 2550 | |
| Gold Produced | 250000 | | 300000 | |
| Average Annual Production | 50000 | | 50000 | |
| | | | | |
| Mining Costs$/t | $4.49 | $4.49 | $13.0m | |
| Mineral Process/t | $48.06 | $48.06 | $122.5 m | |
| Trucking | $25.50 | $18.10 | $43.5 m | |
| G & A | $12.04 | $12.04 | $31.5 m | |
| Contiungency | $25M | | $25m | |
| Total Initial Capital | $75 m | | $10 m | |
| Cash costs | $280 m | | $ 245.5 m | |
| Cash costs/0z | $1120.00 | | $820.00 | |
| Total Sustaining capital | $5.0m | | $5 m | |
| Total Costs | $285m | | $250.5 m | |
| AISC/oz | $1140.00 | | $835.00 | |
| Average Annual Free Cash flow | $53 m | | $68 m | |
| Payback Period | 1.7 | | <1.0 | |
| | | | | |