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Deep-South Discloses a Preliminary Economic Assessment, NPV: CA $ 895 Million, Pre-Tax IRR: 30.4% at a Price of Copper of US $ 3.00 Per Lbs, on The Haib Copper Project in Namibia
(via TheNewswire) Vancouver, B.C., Canada / TheNewswire / February 26,...
About this update from Koryx Copper S.a.
[{"type":"text","content":"Deep-South Discloses a Preliminary Economic Assessment, NPV: CA $ 895 Million, Pre-Tax IRR: 30.4% at a Price of Copper of US $ 3.00 Per Lbs, on The Haib Copper Project in Namibia(via TheNewswire)\n \n \nVancouver, B.C., Canada / TheNewswire / February 26, 2018 - Deep-South Resources Inc. (\"Deep-South\" or \"the Company\") (TSX-V: DSM) today announced that it has received the results of a Preliminary Economic Assessment (\"PEA\") from Mineral Engineering and Technical Services of Australia (\"METS\") on its Haib Copper project in Namibia. \n\n \n \nHighlights of PEA\n\n \n \nFour recovery options were considered for economic evaluation. The best economic outcome is derived by using option 3 which combines an initial ore sorter upgrade with subsequent heap leaching of the upgraded material. All financial metrics are based on the recent 43-101 indicated resource estimation of 456.9 MT @ 0.31% Cu. The salient features of this option are as follows:\n\n \n \nTable 1: Option 3 financial metrics\n\n \n\nFinancial Metric\n\n\n\n\n$3.00/lb Cu Price\n\n\n\n\n$3.30/lb Cu Price\n\n\n\n\n$3.60/lb Cu Price\n\n\n\n\nCAPEX\n\n\n\n\nUS$191.8M\n\n\n\n\nUS$191.8M\n\n\n\n\nUS$191.8M\n\n\n\n\nTotal Operating Expense1\n\n\n\n\nUS$1.41/lb CuEq \n\n\n\n\nUS$1.42/lb CuEq \n\n\n\n\nUS$1.43/lb CuEq \n\n\n\n\nNPV7.5%, pre-tax\n\n\n\n\nUS$716.2M (CA$895.3M)\n\n\n\n\nUS$883.1M (CA$1,103.9M)\n\n\n\n\nUS$1,049.3M (CA$1,311.6.1M)\n\n\n\n\nIRRpre-tax\n\n\n\n\n30.4%\n\n\n\n\n34.9%\n\n\n\n\n39.2%\n\n\n\n\nPayback Period pre-tax\n\n\n\n\n4.2 years\n\n\n\n\n3.6 years\n\n\n\n\n3.3 years\n\n\n\n\nNPV7.5%, post-tax\n\n\n\n\nUS$463.1M (CA$578.9M)\n\n\n\n\nUS$567.4M (CA$709.3M)\n\n\n\n\nUS$671.3M (CA$839.1M)\n\n\n\n\nIRRpost-tax\n\n\n\n\n23.0%\n\n\n\n\n26.1%\n\n\n\n\n29.1%\n\n\n\n\nPayback Periodpost-tax\n\n\n\n\n5.7 years\n\n\n\n\n4.9 years\n\n\n\n\n4.4 years\n\n\n\n\nThroughput (Mtpa)\n\n\n\n\n8.5\n\n\n\n\n8.5\n\n\n\n\n8.5\n\n\n\n\nAnnual production lbs / CuEq\n\n\n\n\n47 million\n\n\n\n\n47 million\n\n\n\n\n47 million\n\n\n\n\nStrip ratio\n\n\n\n\n2:1\n\n\n\n\n2:1\n\n\n\n\n2:1\n\n\n\n\nLOM\n\n\n\n\n55 years\n\n\n\n\n55 years\n\n\n\n\n55 years\n\n\n\n \n1Variable due to change in absolute royalty payment due to increased revenue\n\n \n \nThe PEA focuses on the potential of heap leaching treatment. Several opportunities are identified in the PEA that could significantl...