Economic Analysis

As new information has been unveiled, a new conceptual economic analysis has been completed.
This page is just to link to the various analysis that has been completed to date.

*Information in this current blog is based on information obtained up to mid 2018 and should be considered legacy at this time and should no longer be relied upon.*

Most recent:

NPV #5 -- Link to analysis
Description - This analysis takes the current information (inferred resources) and makes some key assumptions to send as parameters into the NPV. The biggest change is that the reader is able to use a table and vary the operating cost and capital cost to determine what the after-tax NPV would be.

Feb 28th, 2016 - pre-PEA analysis -- Link to Analysis
Description - This analysis tries to focus in what the final tonnage that will be going into the PEA and does an all in revenue and an all in cost per tonne of material to find a profit cash flow per year that reaches over CAD$100 million per year. (mill rate is 800ktpa to get a nice 12 year mine life and blends )
This does not include an underground portion of CH-6 as they will come in later into the project.
Also, does not include CH-44 as it needs a valuation exercise completed.

NPV #4 -- Link to analysis
Description - This analysis again uses an estimated tonnage going into the upcoming PEA. It uses a smaller mill rate of 500ktpa with a 20 year mine life. This includes all the NPV/IRR and discount rates. Results is an NPV @ 7% discount rate of over CAD$500 million. (looks like depleting the higher value CH-6 first)

NPV #3 -- Link to analysis
Description -- This analysis uses an estimated tonnnage of 11 million tonnes and a much larger mill throughput of 1 mtpa. The resulting NPV @ 7% is CAD$900 million. This looks at mining ch-6 first and mining ch-7 from a higher to lower grade progression.

NPV #2 -- Link to analysis
Description - This analysis incorporates the third CH-44 Pipe and also includes a 250 metre underground section of CH-6 added (this hasn't been drilled yet. This is a 1 mtpa year with a longer mine life and has an NPV @7% of CAD$1.5 billion.

NPV #1 -- Link to analysis
Description - This analysis incorporates only CH-6 open pit. A one pipe mine. It uses a smaller 500ktpa mill and comes up with a an NPV of CAD$750 million using a 7% discount rate.