Business
Completion of new Empire Mine Economic Model
Completion of new Empire Mine Economic Model.
About this update from Phoenix Copper Ltd. (united Kingdom)
[{"type":"text","content":"\n \nRNS Number : 4436H Phoenix Copper Limited 01 August 2019 \n\nPhoenix Copper Limited / Ticker: AIM:PXC / Sector: Mining\n \n1 August 2019\n \nPhoenix Copper Limited (\"Phoenix\" or the \"Company\")\n \nCompletion of new Empire Mine Economic Model\n \nPhoenix Copper Ltd (AIM: PXC; OTCQX: PGMLF), the North American-focused base and precious metals exploration and development company, is pleased to announce that it has completed a new economic model for the Empire Mine open pit heap leach SX-EW project in Idaho, USA.\n \n \nHighlights:\n- Average annual production of 7,665 tons copper equivalent (7,000 tons copper and 1,600 tons zinc) over the life of the mine (with initial production of 8,600 tons per annum) \n- 11-year mine life, including processing of lower grade stockpile, leaching 1.6 million tons per annum\n- Initial head grade of 0.60% copper\n- Initial capital cost of $51 million\n- Life of mine copper equivalent cash cost of $1.72/lb ($1.33/lb in early years)\n- Life of mine EBITDA of $202 million and profit after tax of $177 million at $3.25/lb copper \n- 7% NPV of $55.5 million post-tax and IRR of 33% at $3.25/lb copper \n- 7% NPV of $25.5 million post-tax and IRR of 20% at $2.75/lb copper\n \nBackground \nThis new economic model, which has been prepared with Hard Rock Consulting LLC of Lakewood, Colorado, has been derived following the publication in May 2019 of an updated NI 43-101 compliant resource, which incorporated the 8,600-metre 2018 Empire drilling programme results. The new economic model uses current market data and will form the basis of the feasibility study currently underway and scheduled for completion in Q2 2020.\n \nFurther mine planning and optimization has resulted in an economic model based on ore production of 1.6 million tons per annum over an initial 9-year mine life, with an additional 2 years of low-grade ore processing at the end of mining. This model does not take into account recovery of gold and silver, but does now include zinc recovery.\n \n The Company has used the pit production schedule prepared by Hard Rock Consulting, and product...