Business
Exceptional PEA Results for the Marimaca Project including US$524 million post-tax real NPV8 and 33.5% IRR
VANCOUVER, British Columbia, Aug. 04, 2020 (GLOBE NEWSWIRE) -- Marimaca Copper Corp. (“Marimaca Copper” or the “Company”) (TSX: MARI) is pleased to announce the
About this update from Marimaca Copper Corp.
[{"type":"text","content":" VANCOUVER, British Columbia, Aug. 04, 2020 (GLOBE NEWSWIRE) -- Marimaca Copper Corp. (“Marimaca Copper” or the “Company”) (TSX: MARI) is pleased to announce the results of the Preliminary Economic Assessment (“PEA”) for the Company’s flagship Marimaca Copper Project (“Marimaca” or “the Project”), located in northern Chile. The study confirmed that the Project has the potential to be a very low capital and operating cost copper producer. The Company will host a webinar to present the results of the study on Wednesday the 9th of September 2020. Highlights US$524 million post-tax NPV8 (real) assuming a US$3.15/lb flat long-term copper price Payback of 2.6 years Post-tax IRR of 33.5% US$640 million post-tax NPV8 (real) assuming a US$3.45/lb flat long-term copper price Payback of 2.4 years Post-tax IRR of 38.0% Average annual steady state EBITDA of US$169 million Pre-production capital cost of US$285 million Capital intensity of US$7,125/tonne of copper production capacity Assumes mining fleet is purchased via lease to own to minimize upfront capital costs Profitability Index (NPV/Capex) of 1.8x Life of mine average all-in-sustaining cash costs of US$1.29/lb of copper1 Life of mine average C1 Cash Costs of US$1.22/lb of copper2 Conventional open pit mining focused exclusively on oxide mineralization Life of mine stripping ratio of 0.84:1 Highest grade feed materials available in first five years of production resulting in improved payback and overall economics Conventional heap leach, SX-EW, processing circuit Projected average life of mine metallurgical recoveries in heap leach of approximately 76% of total copper supported by data from several metallurgical testing programs Process makes use of readily available sea water Average annual steady state copper production over first 6 yrs of close to 40,000 tonnes of cathode Total mine life of 12 years Total recovered copper of approximately 430,000 tonnes over the life of mine Significant ongoing exploration potential for both oxide and sulphide mineralization which could substantially extend the mine life of the Project The Preliminary Economic Assessment is considered preliminary in nature and includes Inferred Mineral Resources that are considered too speculative, geologically, to have the economic considerations applied that would enable classification as Mineral Reserves. Th...