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East Africa Metals Receives Approval of Mining Agreements for the development and operation of the Mato Bula and Da Tambuk Projects
VANCOUVER, British Columbia, Jan. 23, 2019 (GLOBE NEWSWIRE) -- East Africa Metals Inc. (TSX-V: EAM) (“East Africa” or the “Company”) is pleased to announce the
About this update from East Africa Metals, Inc.
[{"type":"text","content":" VANCOUVER, British Columbia, Jan. 23, 2019 (GLOBE NEWSWIRE) -- East Africa Metals Inc. (TSX-V: EAM) (“East Africa” or the “Company”) is pleased to announce the Ministry of Mines and Petroleum (the “Ministry of Mines”) has approved the Mining Agreements for East Africa’s 100% owned Mato Bula and Da Tambuk gold projects located in the Tigray National Regional State of the Federal Democratic Republic of Ethiopia (“Ethiopia”). The final step in the Mining Licence process is the formal ratification of the Mining Agreements by the Ethiopian Council of Ministers. Andrew Lee Smith, East Africa’s C.E.O. stated, “The Ministry of Mines approval of the Mato Bula and Da Tambuk Mining Agreements advances two additional mining projects to the development stage. This is another important milestone achieved by East Africa in the emerging mining sector of Ethiopia.” With the completion of the two Mining Agreements, East Africa now has three advanced development gold projects in close proximity to each other and existing transportation and power infrastructure. The Company will continue to engage in discussions with interested parties on project financing and advancing engineering of the Mato Bula and Da Tambuk projects. PROJECT HIGHLIGHTS (See press release: September 4, 2018) Mato Bula Gold Copper Project (see news release dated April 30, 2018): Post-tax NPV of US$56.6M for base case using US$1,325 /oz Au, US$3.00/lb copper and US$17.00/oz silver, at an 8% discount rate. Payback of pre-production capital in 3 years from start of production. C1 cash operating cost of US$412/oz Au including all on-site costs and AISC cost of US$620/oz Au calculated with all on-site and off-site costs, TCRC charges, sustaining costs and net of by-product credits. Average annual metal production of 34,750 ozs. gold, 1.67 million pounds copper and 4,780 ozs. silver. Pre-production capital cost of US$54.2M million including contingency of 38% on direct costs and 26% on total of direct and indirect costs. Open pit mining utilizing drill blast, trucks and shovels, waste stripping ratio of 9/1. Processing rate of 1,400 t/day using conventional crush/grind comminution, gravity concentration and flotation to produce a copper-gold concentrate. In addition, a gold bearing pyrite concentrate will be produced and treated ...