All values in Australian Currency which is about 0.93 of the CAD.
Combined, Turnakura and our Murchison assets can easily match the 660,000 ounces defined by Meeka.
An NPV5 in excess of $300 million cad would be indicated for these Resources.
Toll milling was one of the options addressed by Meeka.
What Meeka shows is that open pit Gold resources in Murchison are not going to come cheap..
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12 July 2023
Murchison Gold Project Feasibility Study Outlines 660koz Initial Production Plan
Average annual gold production of 80,000oz over the first eight years, with peak production of 103,000oz in year six.
Recovered gold production of 663,000oz over 9.3 years (8 years mining, 1.3 years stockpile processing), a 57% improvement on total gold production since the December 2021 Scoping Study.
Initial Probable Ore Reserve of 4.1Mt @ 3.1g/t gold for 410,000oz.
92% of production in the first three years is from Measured and Indicated
Mineral Resources.
Undiscounted free cash flow (after capital and pre-tax): $363M1 ($2,750/oz) and $521M ($3,000/oz)
.
Net Present Value (NPV5%) pre-tax: $249M ($2,750/oz) and $371M ($3,000/oz).
Internal Rate of Return pre-tax (IRR): 40% ($2,750/oz) and 56% ($3,000/oz).
Payback following process plant commissioning: 22 months ($2,750/oz) and 16 months ($3,000/oz).
All-in Sustaining Cost (AISC): $1,684/oz.
Commenting on the Feasibility Study outcom