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OceanaGold Delivers Positive Preliminary Economic Assessment Results for Waihi District
(All financial figures in US Dollars unless otherwise stated) MELBOURNE, Australia, July 16, 2020 /CNW/ - OceanaGold Corporation (TSX: OGC) (ASX: OGC) (the "Com
About this update from Oceanagold Corporation
[{"type":"text","content":" (All financial figures in US Dollars unless otherwise stated) MELBOURNE, Australia, July 16, 2020 /CNW/ - OceanaGold Corporation (TSX: OGC) (ASX: OGC) (the \"Company\") is pleased to announce the results the Waihi District Study Preliminary Economic Assessment (\"PEA\") for the Waihi District located in New Zealand. The PEA is being disclosed in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (\"NI 43-101\"). An NI 43-101 Technical Report of the PEA will be finalised and filed on SEDAR within the next 45 days. Readers are cautioned that the PEA is preliminary in nature. It includes Inferred Mineral Resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorized as Mineral Reserves, and there is no certainty that the PEA will be realised. Mineral Resources that are not Mineral Reserves do not have demonstrated economic viability. PEA Results Summary BASE CASE (@$1,500/oz gold price) Initial after-tax IRR of 51% Initial after-tax net present value (\"NPV\") at 5% discount rate of US$665 million Life of Mine (\"LOM\") after-tax free cash flow of US$1.1 billion LOM All-in sustaining costs (\"AISC\") of US$627 per ounce LOM cash costs of US$557 per ounce Initial mine life to 2036 from multiple sources of mill feed Total growth capital investment of approximately US$447 million over eight years for four distinct deposits Increased resource for Martha Open Pit – now 260,000 gold ounces in the Indicated category and 290,000 ounces in the Inferred category Michael Holmes, President and CEO of OceanaGold said, \"We are very pleased to share the positive results of the Waihi District Study that represents the initial value creating potential of the district opportunities. The PEA indicates the potential for a robust project with an extended mine life for Waihi to 2036 from Martha Underground, Wharekirauponga Underground (\"WKP\"), Gladstone open pit and a cutback of the existing Martha open pit.\" \"Using our base case assumptions, the significant exploration potential recognised at Martha Underground and WKP, combined with the existing infrastructure and skilled workforce, the results of the study give us confidence to move forward in the Waihi District opportunities and as a result, we will continue advanc...