Business
ScoZinc Mining Announces Results of Independent PEA for ScoZinc Mine in Nova Scotia
COOKS BROOK, NOVA SCOTIA--(Marketwired - Dec. 19, 2017) - ScoZinc Mining Ltd. (TSX VENTURE:SZM) ("ScoZinc" or the "Company") is pleased to announce the results
About this update from Edm Resources Inc
[{"type":"text","content":"COOKS BROOK, NOVA SCOTIA--(Marketwired - Dec. 19, 2017) - ScoZinc Mining Ltd. (TSX VENTURE:SZM) (\"ScoZinc\" or the \"Company\") is pleased to announce the results of the independent updated Preliminary Economic Assessment (PEA) on its wholly-owned ScoZinc Zinc-Lead Mine in Nova Scotia, Canada. The 2017 PEA, completed by Stantec Consulting, includes a more detailed mine plan, contract mining obtained by bidding to major Nova Scotia contractors, updated capital cost, and updated milling and other operating costs. Compared to the 2013 report (filed on SEDAR on June 12, 2013), the significant change made was replacing Company owner-operator mining with contract mining. The 2017 NI 43-101 report shows improved robust economics for the restart of the permitted ScoZinc mine. The highlights include: After-Tax NPV (at 5%) CAD $141.2 M After-Tax NPV (at 8%) CAD $119.0 M After-Tax Internal Rate of Return 64.8% Pre-Tax NPV (at 5%) CAD $184.6 M Pre-Tax NPV (at 8%) CAD $155.3 M Pre-Tax Internal Rate of Return 69.9% Annual Average Earnings Before Interest, Taxes, Depreciation and Amortization for life-of-mine CAD $36.4 M C1 Cash Cost per pound of zinc for life-of-mine (after credits for lead) USD $0.49 Total Cost of production per pound of zinc for life-of-mine (including operating, capital and sustaining costs after credits for lead) USD $0.61 Payback of capital 1.9 years Mill Processing Rate (tonnes per day) 2,600 Total operating cost per tonne milled for the life-of-mine CAD $56.02 Total cost per tonne mined (all materials) CAD $3.14 Restart Capital $31.1 M Zinc Price USD $1.25 Lead Price USD $1.05 Exchange Rate (CAD to USD) 0.81 The full text of the report, to National Instrument 43-101 standards, will be filed for review on www.sedar.com in January 2018. Refined Mine Plan and Capital and Operating Costs The updated PEA, completed by Stantec Consulting, included the sequential development of two open pit operations on the Main and Northeast deposits based on a detailed monthly restart plan and production schedule for the first two years then quarterly for the subsequent two years and yearly thereafter. The pits are in close proximity to the existing mill and a small underground operation to extract high grad...