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Cerrado Files NI 43-101 Preliminary Economic Assessment Technical Report and Mineral Resource Estimate for The Minera Don Nicolas Mine in Santa Cruz, Argentina
After Tax NPV5% of US$111 Million at US$2,100/oz Au price After Tax NPV5% of US$153 Millio...
About this update from Cerrado Gold Inc
[{"type":"text","content":"Cerrado Files NI 43-101 Preliminary Economic Assessment Technical Report and Mineral Resource Estimate for The Minera Don Nicolas Mine in Santa Cruz, Argentina After Tax NPV5% of US$111 Million at US$2,100/oz Au priceAfter Tax NPV5% of US$153 Million at Spot prices 1Average annual production targeted at approx. 56,000 Gold Equivalent Ounces (\"GEO\") 2Life of Mine Average annual EBITDA of US$49 Million and FCF of US$25 MillionLOM average EBITDA of US$64 Million and FCF of US$34 Million at Spot prices 1Mine life of 5 years, from April 2024 based on existing ResourcesAverage Cash Costs of US$866/oz; Avg AISC US$1,148/ozNo Material Upfront Capital Expenditures requiredUpdated Mineral Resource Estimate contains 490,000ozs of Measured and Indicated Resources and 121,150 ozs of Inferred Resources with potential upside from continued drilling & resource expansionSpot prices; Au: US$2,400/oz and Ag:US$29/ozGEO calculated by multiplying recovered silver ounces by (25/2100)TORONTO, ON / ACCESSWIRE / September 19, 2024 / CERRADO GOLD (\"Cerrado\" or the \"Company\") is pleased to announce that it has filed the technical report of the Preliminary Economic Assessment (\"PEA\") and an updated Mineral Resource Estimate (\"MRE\") prepared by GeoEstima SpA in accordance with National Instrument NI 43-101 for its Minera Don Nicolas mine located in Santa Cruz Province, Argentina. The work was completed by GeoEstima SpA. The full report is now filed and available on SEDAR+ as of September 19, 2024.Mark Brennan, CEO of Cerrado Gold commented \"The results of the PEA support our view that MDN is set to enter a period of stable operations, generating robust cash flows and improving the balance sheet. We have already demonstrated this in our most recent Q2 results, and we expect the trend to continue this quarter. This, when combined with the expected US$45MM in total cash payments for the recent option granted on our Brazilian asset over the next two years will position Cerrado for future growth. We continue to view MDN as early in its exploration life and our ongoing drill program is designed to increase mine life and unlock the potential for MDN to become a world-class multi-deposit district in the future.\"PEA Summary ResultsPEA Base Case 1 Average Annual Gold Equivalent Production (ounces)55,683Mine life (years) - Mine Plan start Date 1 April ...