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NGEx Resources (TSX:NGQ) announced results of a preliminary economic assessment that looks at its two copper-gold-silver deposits, Los Helados and Josemaría, as an integrated project.
NGEx Resources (TSX:NGQ) announced results of a preliminary economic assessment that looks at its two copper-gold-silver deposits, Los Helados and Josemaría, as an integrated project.
As quoted in the press release:
Project Constellation PEA Highlights:
- Large, robust resource, with most of the mine plan derived from Indicated Mineral Resources (86%);
- A sequential mine plan that takes advantage of the early, higher grade material accessible at Josemaría followed by the higher grade core at Los Helados; many optimization opportunities exist;
- Development capital costs for the Los Helados block cave would be paid for through operating cash flows from the Josemaría open pit, dramatically reducing the initial capital required;
- Estimated 48-year mine life with potential for extension and/or throughput expansion (only 37% of the total Josemaría mineral resource is included in the PEA mine plan);
- Life of mine production totals 7.1 million tonnes of copper (15.7 billion lbs), 8.5 million ounces of gold, and 55.6 million ounces of silver;
- Forecast lowest quartile C-1 costs per pound of copper net of by-products;
- Excellent metallurgy yielding a clean, 29% copper concentrate, with high precious metals content; and
- Clear opportunities to improve project economics by realizing additional potential synergies with nearby deposits.
Project Opportunities
- Optimizing the integrated mine plan and considering opportunities for both expansion and mine life extension as significant resources remain outside the current PEA production plan;
- Recovery of gold from oxide cap at Josemaría;
- Increasing metallurgical recoveries with further test work and optimization;
- Delineating more or higher grade feed material for the process plant through continued exploration on the Company’s extensive land package; and
- The new government in Argentina is revising the tax code to encourage foreign investment. The 10% export tax has been lifted for gold, agricultural commodities, and industrial goods. If it is also lifted for copper concentrate export, there would be a significant positive impact on Project Constellation.
Click here for the full press release.