Some Data Will be on production in 2023 starting at approx. 210,000 ounces per year. EQX to be producing 1,200,000 ounces per year in 2023.
PREMIER REPORTS OPTIMIZED POSITIVE FEASIBILITY STUDY FOR HARDROCK
Premier Gold Mines Ltd. has provided the results of an updated and optimized feasibility study for the Hardrock project in Northern Ontario. This update was prepared by G Mining Services Inc. with support of several other engineering consultants, summarizing significant optimization and de-risking of the Project. The update is based on a revised mineral reserve, life of mine plan, advances in detailed engineering reflecting firm price bids for all major equipment including the processing plant, mobile fleet, power plant, and the water and sewage treatment plants. The updated study included the mineral resource update released on October 3, 2019. Premier has a 50% interest in the Project.
Highlights of the Study and updated life-of-mine Open Pit Mine Plan ("LOM") on a 100% basis include:
$1.05 Billion After-tax NPV5% based on a US$1,400/oz gold price and a $1.30 CAD to USD exchange rate
20.1 % After-tax Internal Rate of return ("IRR")
3.2 year Payback Period
AISC of $618 per oz and total operating cost of $20.39 per tonne
5.54 Moz of Proven & Probable mineral gold reserves averaging 1.27 g/t Au (0.35 g/t Au cut-off grade)
5.05 Moz Total Gold Produced with a 91.2 % process recovery and 5.1 to 1 strip ratio
358,000 oz LOM average annual gold production
414,000 oz First Five years average production at an average head grade of 1.45 g/t Au;
$952 Million Initial capital cost and total LOM sustaining capital of $323 million (Initial capital cost includes working capital and IBA payments);
Study does not include upside opportunity from the Hardrock underground mineral resources, nor the Brookbank, Kailey and Key Lake deposits
The 39,000 hectare Greenstone Gold Property (the "Property") is located approximately 275 kilometres northeast of Thunder Bay, Ontario, Canada and is host to a number of historic and recently discovered gold deposits near Geraldton. The Project update contemplates the construction of a 27,000- tonne per day processing facility and open-pit mining operation with production over a 14-year mine life. Gold production during the first five years is expected to average 414,000 ounces per annum with an average head grade of 1.45 g/t gold. The Project timeline accounts for a 20-month pre-production period and a 4-month plant commissioning period. The life of mine (LOM) strip ratio averages 5.1 to 1.