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Canarc Announces the Filing of New Polaris Preliminary Economic Assessment Report
VANCOUVER, BC / ACCESSWIRE / April 18, 2019 / Canarc Resource Corp. (TSX: CCM, OTC-QB: CRCUF...
About this update from Canagold Resources Ltd
[{"type":"text","content":"Canarc Announces the Filing of New Polaris Preliminary Economic Assessment ReportVANCOUVER, BC / ACCESSWIRE / April 18, 2019 / Canarc Resource Corp. (TSX: CCM, OTC-QB: CRCUF, Frankfurt: CAN) announces the filing of the NI 43-101 preliminary economic assessment report (\"PEA\") which was completed by Moose Mountain Technical Services (Moose Mountain\") for the high-grade New Polaris gold mine in northwestern British Columbia.The report has been filed on SEDAR and is also available on Canarc's website at www.canarc.netHighlights of the PEA include: Post-tax internal rate of return of 38% Post-tax net present value at 5% of US$216 million Post-tax project payback of 2.7 years Cash operating cost: US$433/oz Au Initial capital expenditure of US$111 million ROM production of 2.3 Mt of 10.3 g/t over an 8.7-year mine life Mill throughput of 750 tonnes per day with a process recovery of 90.5% producing 693,000 ozs gold Average annual life of mine production: 80,000 oz. goldThe estimated project economics for Canarc to build and operate a 750 tonne per day gold mine at New Polaris using bio-oxidation followed by a leaching process to produce 80,000 ounces of gold per year in doré bars at site are reasonably achievable for this project.This new processing option significantly enhances the economics of the project and simplifies transportation logistics at this remote site by eliminating the need for seasonal barging of large quantities of concentrate along the Taku River to a third-party treatment facility.The base case economic model is for the gold price (US$1300 per oz), $CA/$US exchange rate (0.77), cash costs (US$433 per oz) and AISC (US$510 per oz ), for which the Moose Mountain PEA shows an after-tax NPV (5%) of CA$280 million with an after-tax Internal Rate of Return (\"IRR\") of 38% and a 2.7 year pay-back period.On a pre-tax basis, the undiscounted life-of-mine cash flow totals CA$554 million with a 47% IRR and a 2.3-year pay-back period. Given the conceptual nature of the PEA, there is no certainty that the preliminary economic assessment will be realized. Moose Mountain concludes that \"The Updated Preliminary Economic Assessment indicates that the New Polaris base case has the potential for positive results and therefore further work is recommended to optimize the project and complete a preliminary feasibility study\".The...