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EMP Metals Reports Preliminary Economic Assessment on Viewfield Lithium Brine Project with Pre-Tax NPV of US$1.49B, IRR of 55% and Payback of 2.1 Years
VANCOUVER, BC, Jan. 9, 2024 /CNW/ - EMP Metals Corp. (CSE: EMPS) (OTCQB: EMPPF) ("EMP Metals" or the "Company") is pleased to announce the highlights of Hub Cit
About this update from Emp Metals Corp
[{"type":"text","content":" VANCOUVER, BC, Jan. 9, 2024 /CNW/ - EMP Metals Corp. (CSE: EMPS) (OTCQB: EMPPF) (\"EMP Metals\" or the \"Company\") is pleased to announce the highlights of Hub City Lithium Corp.'s (\"HCL\") preliminary economic assessment (the \"PEA\") on the Viewfield Lithium Brine Project, Saskatchewan. The PEA outlines the estimated production of battery-quality lithium carbonate equivalent (\"lithium carbonate\" or \"LCE\") over a 23-year period, which represents an estimated a pre-tax internal rate of return (\"IRR\") of 55% and a pre-tax net present value (\"NPV\") of $1.49 billion USD, at an 8% discount rate. Preliminary Economic Assessment Highlights Pre-tax $1.49 billion USD NPV, at an 8% discount rate; Pre-tax IRR of 55% which represents a payout duration of 2.1 years; Total capital expenditures (\"CAPEX\") of $571 million USD inclusive of both direct and indirect capital costs, including $52 million USD in contingency; All-in operating costs (\"OPEX\") of $3,319 USD per tonne LCE, $40 million USD annually, including all direct and indirect costs; 23-year project-life producing a total of 282,090 tonnes of battery-grade lithium carbonate, an average of 12,175 tonnes LCE per year; Weighted average lithium concentrations of 128 mg/L from 7 target zones over the project life (range of 84 mg/L to 259 mg/L); PEA encompasses approximately 11,000 net hectares, or 14% of Hub City Lithium's lands in Southern Saskatchewan Preliminary Economic Assessment Results Values Production (LCE) 12,175 tonnes/year Project Life 23.2 years Total Capital Cost $571 million USD Average Annual Operating Costs $40 million USD Average Selling Price (LCE) $20,000/tonne USD Pre-Tax Net Present Value (8% discount) $1.493 billion USD After-Tax Net Present Value (8% discount) $1.066 billion USD Cash Operating Costs $3,319 / tonne USD Pre-Tax Internal Rate of Return 55 % After-Tax Internal Rate of Return 45 % Payback Period (Pre-Tax) 2.1 years Payback Period (After-Tax) 2.4 years Profitability Index (PI8% Before-Tax) 3.2 Profitability Index (PI8% After-Tax) 2.3 Rob Gamley, EMP CEO, commented, \"We are very pleased with the results of this Preliminary Economic Assessment. With payback in approximately two years, a 23-year project life and a pre-tax IRR of 55%, our Viewfield project is clearly a world class ...