Teal Valley T.TV

RE:Perkoa Life-of-Mine

[HA20200]

Galvanizer posted this on January 26th..back when FIrecracker was still in Pump mode...so you see Fire your a little late to the party....

Galvanizer wrote: FYI... "As part of the 2018 Budget process carried out in mid-2017, Nantou Mining has developed a life of mine plan (LOM) which forecasts production to 2022 with a total of 3.33 Mt being mined at a grade of 13.1% Zn."  (Trevali Mining Corporation – Perkoa Mine, Project #2926 Technical Report NI 43-101 – April 12, 2018 Page 1-7) - perkoa-ni43-101-technical-report-2018.pdf (trevali.com)

This forecast was based on Zinc at approximately $1.20 per pound with "Net cash cost (equivalent to C1 cost), including sustaining capital, of $0.87 per pound of payable zinc."

Ricus stated in the Q3 corporate presentation “at Perkoa, if we can’t extend it, then we definitely will be going into a closure phase if we can’t find additional resources there”

But there is no expansionary capital budgeted for Perkoa for 2022. 

For 2022, there is a $2M exploration budget but there is no delineation between the Perkoa and Rosh Pinah exploration budgets. “At Perkoa, we plan to drill T3 deposit in Q2 2022 with results anticipated in late 2022.” (seems late given the looming life-of-mine issue and there is no clear indication what management is planning or addressing).  Rosh Pinah exploration plans seem more extensive.

There is no updated Perkoa life-of-mine (grades have been decreasing and production is dimishing).  The zinc price has increased but so has the AISC.

Again, management’s communication is opaque at times… so many issues, so many questions and so little clarity!