Silver Bear Updates PEA for Mangazeisky Project

Silver Bear Resources Inc. (TSX:SBR) announced that it has updated the preliminary economic assessment (PEA) for its Russia-based Mangazeisky silver project.

Commenting positively on the report, Mark Trevisiol, the company’s president and CEO, said the numbers show that Mangazeisky has the potential to generate quick returns for investors.

PEA highlights include:

• Internal Rate of Return (IRR) = 63% at $20/oz long term silver forecast price
• Initial Project Capital US $39 Million
• Sustaining Project Capital of US$51 million
• Net present Value (NPV) at 5% discount of US $129.9 Million
• In first 5 years of operation
  • Average Silver Grade processed = 911 g/tonne Silver
  • Recovered Silver Cash Cost for first five years¹ = $5.55/oz Silver (excludes by product credits)
  • Approximate mining processing rate rate per day = 300 tonnes per day (tpd)
  • Average Payable Silver per year = 2.6 Million oz/yr
• 19 year mine life
  • Open pit mining method for first 10 years
  • Underground operation extends mine life to 19 years
• All mineralised material is sourced from Silver Bear’s Vertikalny deposit alone
• Silver Bear expects construction of the facility to take approximately 18 to 24 months following the completion of a feasibility study and the receipt of required permits.

Click here to read the full Silver Bear Resources Inc. (TSX:SBR) press release.