EPM Mining Releases Preliminary Feasibility Study for Sevier Lake Playa Sulphate of Potash Project
EPM Mining Ventures Inc.’s (TSXV:EPK,OTCQX:EPKMF) PFS forecasts average annual SOP production of 300,000 metric tonnes (t) with an estimated Net Present Value (“NPV”) of $629 million (after tax, inflated, 8% discount rate) and an estimated Internal Rate of Return (“IRR”) of 20% (after tax, inflated).
As quoted in the press release:
Economic Indicators
NPV (pretax, 8%) $ 957 M
NPV (after tax, 8%) $ 629 M
IRR (pretax) 24%
IRR (after tax) 20%
Average Annual SOP Production 300,000 t
Mine Life 30 years
Initial Direct Capital Costs $ 292 M
Initial Indirect Capital Costs $ 50 M
Initial Capital Contingency $ 36 M
Operating Cost $ 180.91/t
Production Royalties (% of gross revenues) 5.61%
Year 3 EBITDA (nameplate production) $ 143 M
Payback Period (from commencement of production) 5.5 years
Measured & Indicated SOP Resource 31.486 Mt
EPM Mining CEO, Lance D’Ambrosio, said:
We are very pleased with the completion and positive results of this important study. Through the efforts of a second drilling and fieldwork program, bench-scale testing of important evaporation and other process-related parameters, and significant hydrology modeling and analysis, the PFS highlights and supports the strong fundamentals and potential of our project.
Click here to read the EPM Mining Ventures Inc. (TSXV:EPK) press release
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