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Orla Mining Announces Positive Results of Preliminary Economic Assessment and New Mineral Resource Estimate for Camino Rojo
Vancouver, British Columbia--(Newsfile Corp. - May 29, 2018) - Orla Mining Ltd. (TSXV: OLA) ("...
About this update from Orla Mining Ltd.
[{"type":"text","content":"Orla Mining Announces Positive Results of Preliminary Economic Assessment and New Mineral Resource Estimate for Camino Rojo(All amounts in US$ unless otherwise noted)Vancouver, British Columbia--(Newsfile Corp. - May 29, 2018) - Orla Mining Ltd. (TSXV: OLA) (\"Orla\" or the \"Company\") is pleased to provide the results of a positive Preliminary Economic Assessment (\"PEA\") and a mineral resource estimate on its 100% owned Camino Rojo Project located in Zacatecas State, Mexico. The mineral resource and PEA support a technically simple open-pit mine and heap-leach operation that offers low capital and operating costs, rapid payback, and strong financial performance.The new overall mineral resource at Camino Rojo is estimated to include measured and indicated mineral resources of 9.65 million ounces of gold and 102.4 million ounces of silver (354.9 million tonnes at 0.85 g/t gold and 8.97 g/t silver) and an inferred mineral resource of 1.82 million ounces of gold and 16.21 million ounces of silver (65.2M tonnes at 0.87 g/t gold and 7.73 g/t silver). The PEA is based on near-surface oxide and partly oxidized (transitional) material within the overall resource that can be processed by heap leaching. All mineral resources and the proposed open pit are within Orla mineral concessions. The Company has surface rights over the entire area of proposed development in the PEA. PEA Highlights Production Rate per Day18,000 tonnesTotal Material to Leach Pad42.5M tonnesAverage Grade Au / Ag (g/t)0.71 / 13.56Contained gold / silver ounces966,000 / 18,517,000Average Recovery Au / Ag67% / 15%Average Annual gold Production97,500 ouncesStrip Ratio0.58Initial Capex$125 millionAvg. LOM production costs (per tonne of material processed)$8.02Total By-Product Cash Cost1 ($/oz Au)$499All-In Sustaining Cost1 ($/oz Au)$555Pre -Tax - Net Present Value (5%) / Internal Rate of Return (\"IRR\")$231 million / 38.1%After-Tax - Net Present Value (5%) / IRR$121 million / 24.5%Payback3.3 years 1 includes royalties payable\"The results of the mineral resource estimate and PEA clearly show that Camino Rojo is an excellent project with potential for very low cost, 100,000 ounces per year gold and significant silver production from a relatively simple open pit mine and heap leach,\" stated Marc Prefontaine, President and Chief Executive Officer. \"There is also lo...