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South Star Mining Announces Positive Pre-Feasibility Study Results and Maiden Reserve Estimate for Santa Cruz Graphite Project
(via TheNewswire) Toronto, ON - TheNewswire - February 5, 2020 - ...
About this update from South Star Battery Metals Corp
[{"type":"text","content":"South Star Mining Announces Positive Pre-Feasibility Study Results and Maiden Reserve Estimate for Santa Cruz Graphite Project(via TheNewswire)\n \n \n\n\n \n \nToronto, ON - TheNewswire - February 5, 2020 - South Star Mining Corp. ('South Star' or 'the Company') (TSXV:STS) (OTC:STSBF) is pleased to announce the positive pre-feasibility study (\"PFS\") results for its 100%-owned Santa Cruz Graphite Project (\"Project\") located in Southern Bahia, Brazil. The PFS presents a two-phased approach to production with an after tax NPV5% of US$81.2M, an IRR of 35% and a 4-year payback. The study used the current average basket price of US$1,287 per tonne which was held constant for the life of the project.\n\n \n \nPhase 1 consists of a pilot plant with the capacity to produce 5,000t of concentrate per year, and the simple layout includes a small open-pit processing plant with filtered tails technology, waste storage facility for co-disposal of wasterock and filtered tails and civil infrastructure. The goal of the Phase 1 operations is to test and optimize the flowsheet, develop the key commercial relationships and optimize the production of products demanded in the marketplace, given the inherent, high-quality nature of the concentrates produced to date. Detailed engineering of the pilot plant was completed as part of the PFS. \n\n \n \nPhase 2 is a larger plant with similar layout and technology, but with a capacity of 25,000t of concentrate per year. It's important to highlight that both Phases include the use of filtered tails technology and co-disposal of tailings with wasterock to avoid the requirement of a Tailings Storage Facility. This is essential in facilitating the permitting process and decreasing the environmental footprint of the facility. \n\n \n \nPFS Highlights\n\n \n \n\n\n- Combined Maiden Proven & Probable (P+P) Reserve Estimate of 12.3M tonnes with strong conversion of resource to reserves.\n\n\n\n- The Mineral Reserve Estimate is listed below:\n\n\n\n \n\nMineral Reserve Estimate\n\n\n\n\nTonnage\n\n\n\n\nCg\n\n\n\n\nIn-situ Graphite\n\n\n\n\n(t)\n\n\n\n\n(%)\n\n\n\n\n(t)\n\n\n\n\nProven\n\n\n\n\n3,989,635\n\n\n\n\n2.49\n\n\n\n\n99,340\n\n\n\n\nProbable\n\n\n\n\n8,318,795\n\n\n\n\n2.35\n\n\n\n\n195,490\n\n\n\n\nTotal P &P\n\n\n\n\n12,308,500\n\n\n\n\n2.40\n\n\n\n\n295,400\n\n\n \n \nNotes:\n\n\n \n\n\n1)Mi...