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Gold Reach Resources Ltd. (TSXV:GRV) announced the results of a preliminary economic assessment (PEA) for its copper-gold-moly Ootsa project, located in British Columbia.
Gold Reach Resources Ltd. (TSXV:GRV) announced the results of a preliminary economic assessment (PEA) for its copper-gold-moly Ootsa project, located in British Columbia.
As quoted in the press release:
The conceptual study demonstrates the potential to develop the Ootsa Project by means of contract mining and toll milling at low initial capital cost to deliver a base case after-tax NPV and IRR of C$186 million and 81% respectively. P&E Mining Consultants Inc. (“P&E)” was the lead engineering firm for the PEA, which also included input from Knight-Piesold Consulting, ERM Consultants Canada Ltd., and Gold Reach personnel.
Base-case operating highlights and project performance are as follows:
- Metal Price: US$3.00/lb Cu, US$1260/oz Au, US$10.30/lb Mo, US$17/oz Ag
- Mill Feed*: 65 Mt @ 0.37% Cu Eq (0.25% Cu, 0.13 g/t Au, 0.016% Mo, 2.3 g/t Ag)
- Resource Quality: 94% Measured, 6% Indicated Classification
- Production: 324 M lbs Cu, 185 K oz Au, 15.8 M lbs Mo, 3 M oz Ag
- Mine Life 12 years
- Initial CAPEX: C$64 million (including contingency)
- NPV @ 5% (after-tax)**: C$186 million
- IRR (after-tax): 81%
- Payback: 1 year
- Resilience: 31% IRR at US$2.25/lb Cu
Click here to read the full Gold Reach Resources Ltd. (TSXV:GRV) press release.