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Moneta Delivers Positive PEA for Tower Gold
261,014 oz Au Average Annual Production for First 11 Years  After-Tax $1,066 Million N...
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[{"type":"text","content":"Moneta Delivers Positive PEA for Tower Gold261,014 oz Au Average Annual Production for First 11 Years After-Tax $1,066 Million NPV(5%) and 31.7% IRR at US$1,600/oz Au with 24 Year Mine Life $159 Million Average Annual After-Tax Free Cash Flow for First 11 Years of Full ProductionToronto, Ontario--(Newsfile Corp. - September 7, 2022) - Moneta Gold Inc. (TSX: ME) (OTCQX: MEAUF) (XETRA: MOP) (\"Moneta\" or the \"Company\") is pleased to announce positive results from a Preliminary Economic Assessment (\"PEA\") for the Company's 100% owned Tower Gold project in Timmins, Ontario. The PEA, prepared by Ausenco Engineering Canada Inc. (\"Ausenco\") in accordance with National Instrument 43-101 (\"NI 43-101\"), demonstrates the potential to develop a low-cost 19,200 tonnes per day (\"tpd\") combined open pit and underground mining operation with strong economics and the opportunity for significant benefit to the Indigenous Nations, local stakeholders, and the Company.HIGHLIGHTS OF THE PEA(All figures are stated in Canadian dollars unless otherwise stated)Low capital intensity project, with initial capital (\"CAPEX\") of $517 million for a 7.0 million tonne per annum (\"tpa\") processing plant including mine preproduction, infrastructure (roads, power line and substation, tailings storage facility, ancillary buildings, and site water management structures) and $886 million sustaining capitalAfter-tax pay-back of 2.6 years and profitability index (NPV/initial capital) of 2.1Robust economics with $1,459 million pre-tax Net Present Value at a 5% discount rate (\"NPV5%\"), $1,066 million after-tax, and 38.9% pre-tax Internal Rate of Return (\"IRR\"), 31.7% after-tax; at US$1,600/oz gold and exchange rate of US$0.78/C$Highly leveraged to the gold price with after-tax NPV5% of $1,339 million, 37.8% IRR, and 2.2-year payback at spot US$1,700 per ounce gold$1,932 million cumulative after-tax cash flowMine life of 24 years, with average annual gold production of 261,014 oz in years 1 to 11 (192,666 oz for LOM) for 4,581,000 ounces total gold production LOMPeak annual gold production of 368,622 ouncesAverage mill head gold grade of 1.28 grams per tonne (\"g/t\") gold (\"Au\") in years 1 to 11 (0.94 g/t Au for LOM)Average mill recovery of 91.3% LOMCash cost of US$910 per ounce and all-in sustaining cost (\"AISC\") of US$1,073 per ounce gol...