Pilot Gold Revises PEA for Halilaga Copper-Gold Project

Pilot Gold Inc. (TSX:PLG) announced the completion of a new preliminary economic assessment( PEA) for its Turkey-based Halilaga copper-gold porphyry project.

The PEA is based on $1,200 gold and $2.90 copper. Highlights include:

• NPV^7% of $474 million, 43.1% IRR and 1.3 year payback;
• Cumulative Free-Cash-Flow of $802.9 million;
• Copper cash cost of $1.08/lb (net of by-products);
• Mine plan of 25,000 TPD over 13.6 years with strip ratio of 1.3:1;
• LOM payable production of 780 million pounds copper and 924 thousand ounces gold;
• Pre-production capital costs of $346 million (including a 25% contingency of $65.4 million).

Matt Lennox-King, president and CEO of Pilot, commented:

We have designed the optimal project for the deposit in the context of today’s capital markets.  The revised project more than doubles the IRR and retains the same after-tax value as the 2012 study while substantially reducing overall capital costs. The revised PEA leverages the established infrastructure in the district and the high grades at surface to drive rapid payback of capital, showcasing Halilaga as a standout project in the mid-size copper-gold development space.

Click here to read the full Pilot Gold Inc. (TSX:PLG) press release.