Vista Gold Corp. (TSX: T.VGZ, Stock Forum) said positive results of a preliminary economic assessment for its Guadalupe de los Reyes gold/silver project in Mexico show payable production of 327,681 ounces of gold and 4.39 million ounces of silver over an 11-year-mine life.
The Guadalupe de los Reyes gold/silver project, located in Sinaloa, as currently envisioned, consists of five small open pits within the Guadalupe de los Reyes system, all located within approximately 2.5 kilometres of each other.
According to the Vista Gold press release, highlights of the PEA show ore processed through a 1,500 tonne per day plant with gold and silver recoveries of 93% and 83% respectively, through a conventional CIL recovery circuit.
After-tax net present value of $57.3 million, internal rate of return of 21%, and capital payback of 3.6 years using gold and silver prices of $1,480 and $28 per ounce, respectively.
Vista is advancing exploration on its Guadalupe de los Reyes gold/silver project in Mexico and has granted Invecture Group, S.A. de C.V. a right to earn a 62.5% interest in the Los Cardones (formerly named Concordia) gold project in Mexico.
On Monday Vista fell 2.15% and was trading at $1.82 a share. The company had a market cap of $148.5 million, based on 81.6 million shares outstanding. The 52-week high and low was $3.99 and $1.76 respectively.