Taguas Compared with Lindero | Stock | ORV | | FSM |
| Company | Orvana Minerals | | Fortuna Silver |
| Mine | Taguas | | Lindero |
| Country | Argentina | | Argentina |
| Province | San Juan | | Salta |
| Project Area | 3274 Ha | | 3500 Ha |
| Elevation | 3900-4300 MASL | | 3500-4000 MASL |
| Latitude | 29.2 degrees S | | 25.3 degrees S |
| Longitude | 69.9 degrees west | 68 degrees west |
| Mine Type | Open Pit | Underground | Open Pit |
| Dimensions | 2300 m x 2400 m | | 800 m x 800 m |
| Depth | 100-150 m | | 300 m |
| Drill Holes | 241 | | 144 |
| Total Meters Drilled | 56585 | | 42358 |
| Open Pit Mine | Cerro Taguas | Underground | Lindero |
| Total Resource Mt | 131.355 | | 88.272 |
| Au Eq (g/t) | 0.532 | | 0.66 |
| Total koz AuEq | 2,247 | | 1,873 |
| Underground Cerro Silla Sur | | |
| Total Resource kt | 750 | 62500 | |
| Au Eq (g/t) | 4.14 | 3.14 | |
| Total koz AuEq | 99.84 | 6,310.29 | |
| Cerro Campamento | | 116,359 | |
| Total Resource kt | 1521 | 126750 | |
| Au Eq (g/t) | 5.12 | 4.01 | |
| Total koz AuEq | 250.40 | 16,343.01 | |
| Total Tonnes Mined | 110,535,930 | 168,728 | 198,070,000 |
| Waste t | 55,542,930 | | 109,798,000 |
| Oxide Ore t | 54,993,000 | | 88,272,000 |
| Strip Ratio | 1.01 | | 1.2 |
| Mine Life (Oxides) | 12 | 12 | 13 |
| Ore Mined/yr | 4,582,750 | 189,250 | 6,790,154 |
| Average mining rate (tpd) | 12,555 | 518 | 18,603 |
| Au (g/t) | 0.35 | 3.72 | 0.62 |
| Ag (g/t) | 12.10 | 46.85 | 0.53 |
| Cu (Percent) | 0.00 | 0.39 | 0.11 |
| Gold Recovery (Percent) | 87.00 | 87.00 | 68.50 |
| Silver Recovery (Percent) | 52.00 | 52.00 | 62.80 |
| Copper Recovery (Percent) | 0.00 | 90.00 | 14.70 |
| Annual Gold Production oz | 44,870 | 19,708 | 92,726 |
| Annual Silver Production oz | 927,160 | 148,245 | 71,984 |
| Annual Copper Production lb | 0.00 | 1,479,220 | 2,419,921 |
| Annual Gold Equivalent Production oz | 70,624 | | 98,776 |
| Taguas Underground | 25,631 | | |
| Total Annual production | 96,255 | | |
Based on the mining costs listed in table 14-22 of the new Taguas 43-101 report and assuming that Orvana mines Taguas for 12 years producing oxide ore only Taguas will only produce around 70,000 ounces of gold equivalent per year, while Lindero's mine plan has it producing around 100,000 ounces per year for 13 years.
However, if Cerro Silla Sur and Cerro Campamento were mined at 620 tpd, these high grade underground deposits have the potential to add around 30,000 ounces of gold equivalent production which would bring production at Taguas up to the same production level as Lindero.
The main differences between the two deposits is that silver grades at Taguas are 23 times higher at Taguas, while gold grades at Taguas are half of Lindero's average gold grades. Plus Lindero needed to add a SART plant on account of the much higher copper levels.
Based on the Taguas copper cross sections in Figure 14-25 and 14-28, we know that there is virtually no copper in the oxide layer at Taguas.
The table below lists the value of Taguas gold and silver production at current metal prices:
Mine Cerro Taguas
Annual Gold Equivalent Production oz 70,624
- Revenue $107,546,653
- Royalties $5,915,066
- Revenue $101,631,587
- All In Cost $64,250,155
- Pretax profit $37,381,432
- Underground $28,848,892
- Total Profit $66,230,324
PE20 stock price = $9.70 USD/share
Taguas oxide production is worth 27 cents per share in pretax profit and underground production has the potential to add 21 cents per share in pretax profit.
So the bottom line is that Taguas gold, silver, and copper production could add up to $10 USD per share to the ORV stock price.
ganndolph1