Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.

Majestic Gold Corp. V.MJS

Alternate Symbol(s):  MJGCF

Majestic Gold Corp. is engaged in mineral resource exploration, development and extraction. It operates the Songjiagou open pit gold mine in the eastern Chinese province of Shandong. Songjiagou Gold Mine covers over 75.04 square kilometers in Muping, Yantai, Shandong Province, China. It has four separate tenements, including E36/918, E37/1334, E63/2110 (Kumarl) Tenement and E77/2817 (Moorine) Tenement. These tenements are located in Western Australia, an area with demonstrated potential for the discovery of lithium oxide mineralization. E36/918 tenement has been granted and consists of two blocks located 150 kilometers (km) North of Leonora, about 50 kms north of Leinster, along the east side of the Kathleen Valley. E37/1334 tenement has been granted and consists of six blocks located west of Leonora township, 200 kms North of Kalgoorlie and 700 kms northeast of Perth, in the Goldfields region. E77/2817 (Moorine) Tenement consists of eight blocks located 400 kms east of Perth.


TSXV:MJS - Post by User

Post by nozzpackon Nov 09, 2022 2:01pm
111 Views
Post# 35085990

9% Discounted Net Present Value of open pit is $430 m USD

9% Discounted Net Present Value of open pit is $430 m USDFrom the HKEX document..


As the plan of the mine, our Songjiagou Open-Pit Mine will have a LoM of about nine years at a normal production capacity of approximately 3.3 Mtpa ore.

Based on the SRK Report and projection by using discount cash flow modelling, our Songjiagou Open-Pit Mine has a net present value of approximately RMB3,064 million at a discount rate of 9%. ( $430 Million US ) 


Therefore, it is technically feasible and economically viable.


Also , note that the current processing rate is about 1.6 million tons per year while the normal production capacity ...as stated in the HK docs..is 3.3 Mtpa.

So, it looks like the expansion of the current open pit both horizontally and at depth via HK IPO should double the current productiin of 40,000 ounces to 80,000 ounces.

It might be a bit more as grades are also stated to increase.

 
<< Previous
Bullboard Posts
Next >>