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Bonterra Announces Positive Preliminary Economic Assessment on the Barry Open Pit Project
Val-d'Or, Quebec--(Newsfile Corp. - June 13, 2022) - Bonterra Resources Inc. (TSXV: BTR) (OTC...
About this update from Bonterra Resources, Inc.
[{"type":"text","content":"Bonterra Announces Positive Preliminary Economic Assessment on the Barry Open Pit ProjectVal-d'Or, Quebec--(Newsfile Corp. - June 13, 2022) - Bonterra Resources Inc. (TSXV: BTR) (OTCQX: BONXF) (FSE: 9BR2) (\"Bonterra\" or the \"Company\") is pleased to announce positive results from the independent preliminary economic assessment (\"PEA\") on the Barry open pit project in the Urban-Barry Camp in northern Quebec. The PEA has been prepared by SLR Consulting (Canada) Ltd. (\"SLR\") in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (\"NI 43-101\"). AMC Mining Consultants (Canada) Limited (\"AMC\") has reviewed and endorsed the mine engineering and cost estimates as used in the Barry open pit component of the PEA. The Company notes that mineral resources are not mineral reserves as they do not have demonstrated economic viability. The Company further notes that a PEA is preliminary in nature and may include inferred mineral resources that are considered too speculative geologically to have economic consideration applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEA will be realized. All figures are stated in Canadian dollars unless otherwise stated.PEA HighlightsLong-term gold price per ounce (\"oz\"): US$1,600Exchange rate: C$1.00 = US$0.75After-tax net present value (\"NPV\") at a 5% discount rate: $48.3 millionAfter-tax internal rate of return (\"IRR\"): 43%Initial capital costs: $22.1 millionSustaining life of mine (\"LOM\") capital costs: $21.3 millionTotal mill feed: 2.0 million tonnes (\"Mt\") at 2.36 grams-per-tonne gold (\"g/t Au\")LOM average annual gold production: 30,000 ozLOM strip ratio (waste : mined resource): 5.4:1LOM total production: 145,050 oz (95.0% mill recovery)LOM cash costs: C$1,252/oz (US$939/oz)LOM all-in sustaining costs (\"AISC\"): C$1,420/oz (US$1,065/oz)Marc-Andre Pelletier, President, CEO and Director of Bonterra commented: \"The PEA on the Barry open pit project represents an important step towards a restart of production at the Barry open pit project by Bonterra. The PEA highlights a project that requires a modest upfront investment and is expected to generate average annual net pre-tax cash flow of over $20 million once in commercial production. The Company intends to use the cash flow from the ...