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Paramount Gold Nevada Files Technical Report on Pre-Feasibility Study for Grassy Mountain Project in Eastern Oregon
Total cash operating costs of $528 per ounce of gold produced (after silver credits)Annual average production of 47,000 ounces of gold and 50,000 ounces of silv
About this update from Paramount Gold Nevada Corp.
[{"type":"text","content":" Total cash operating costs of $528 per ounce of gold produced (after silver credits)Annual average production of 47,000 ounces of gold and 50,000 ounces of silver for 7.25 yearsAfter tax IRR of 28% WINNEMUCCA, Nev., July 09, 2018 (GLOBE NEWSWIRE) -- Paramount Gold Nevada Corp. (NYSE American:PZG) (\"Paramount”) announced today that its National Instrument 43-101-compliant Technical Report containing the recently completed Pre-Feasibility Study (“PFS”) for its 100%-owned Grassy Mountain Gold Project in Eastern Oregon has been filed at www.SEDAR.com as required. The Report demonstrates that the project represents a robust economic opportunity at current gold prices and confirms the information on the PFS released by Paramount on May 24, 2018. The full Technical Report is available for download at the Company’s website. Highlights of the PFS include: Average mill head grade of 0.206 opt (7.06 g/T) of Au and 0.29 opt (9.94 g/T) of Ag; Cash operating costs of $528 per ounce gold1; Total costs of $853 per ounce gold1 including initial and sustaining capital; After tax IRR of 27.6% and NPV (5%) of $87.8 Million at the base case metal prices2; Annual production of approximately 47,000 ounces of gold and 50,000 ounces of silver for 7.25 years; Total operating cash-flows of $254 million; Capital expenditures of $69.9 million for a 750 ton per day mine and milling operation; Total initial capital costs of $110 million including $12.2 million in mine development and pre-production costs, $13.6 million in owners and working capital and $14.2 million in contingencies; Payback of 2.5 years from the start of production; Measured plus indicated resource containing 1.06 million ounces of Au at 0.034 opt (1.17 g/T3) plus 3.3 million ounces of Ag at 0.107 opt (3.67 g/T); and Proven and Probable Reserves4 containing 362,000 ounces of Au at 0.21 opt (7.20 g/T) plus 516,000 ounces of Ag at 0.30 opt (10.3 g/T). Glen Van Treek, Paramount’s President and CEO, stated that, “We are very confident that our PFS defines a sound, achievable project with exceptional economic parameters. We also see many opportunities to enhance the project’s value. For example, we have identified several highly prospective exploration targets in the immediate area where we expect to be able to add resources and extend mine life. At the same time, we are focussed on the p...