Business
Cerrado Gold Files 43-101 Updated Feasibility Study Technical Report for Its Monte Do Carmo Gold Project, Brazil With an Updated After-Tax NPV5% of US$390 Million and IRR of 34%
Feasibility Study Highlights After-Tax NPV 5% of US$390 million and IRR of 34% Avera...
About this update from Cerrado Gold Inc
[{"type":"text","content":"Cerrado Gold Files 43–101 Updated Feasibility Study Technical Report for Its Monte Do Carmo Gold Project, Brazil With an Updated After-Tax NPV5% of US$390 Million and IRR of 34%Feasibility Study HighlightsAfter-Tax NPV5% of US$390 million and IRR of 34%Average annual gold production of 95,212 ounces per annum over 9-year Life of Mine (\"LOM\")Average AISC of US$687 per ounce over LOMInitial Capex of US$181.4 million (including US$15.8 million contingency)2.15x NPV/Initial Capex RatioAnnual average free cash flow of $87 million over the LOM, with total cumulative after-tax free cash flow of $588 million over LOMInitial Proven and Probable Reserves of 895 koz of Gold (16.8 Mt at 1.66 g/t Au)Updated Measured and Indicated Resources of 1,012 koz of Gold (18.4 Mt at 1.72 g/t Au) and Inferred Resources of 66 koz of Gold (1.1 Mt at 1.95 g/t Au)Full Technical Report filed on SEDAR+(All numbers reported in US dollars, unless specifically stated otherwise)TORONTO, ON / ACCESSWIRE / December 15, 2023 / Cerrado Gold Inc. (TSX.V:CERT)(OTCQX:CRDOF) (\"Cerrado\" or the \"Company\") is pleased to announce that it has filed the technical report of the independent Feasibility Study (\"FS\") as prepared by DRA Global Limited (\"DRA\") in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (\"NI 43-101\") on its 100% owned Monte do Carmo gold project located in Tocantins State, Brazil. The technical report, shows a positive adjustment to the economic parameters presented in the November 7, 2023 press release outlining results of the Feasibility Study. The full technical report has now been filed on SEDAR+ as of December 15, 2023.The positive adjustment reflects the results of work undertaken by DRA and GE21 during the completion of the FS to include:Recently completed additional metallurgical optimization test work on variability samples have demonstrated improved flotation concentrate leach efficiencies and reduced cyanide consumption rates. Projections indicate that over the life of the mine, an additional 0.4% recovery improvement or 3,7koz of gold is anticipated to be recovered, accompanied by a 2.7% reduction in process operating costs.In addition, the receipt of suppliers quote for larger size haulage equipment as well as the optimization of both the open pit and underground mining fleets, resulted...