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Thesis Gold Updated PEA for Lawyers-Ranch Project: After-Tax NPV5% of C$1.28 Billion, IRR of 35.2% and 2.0 Year Payback
Vancouver, British Columbia--(Newsfile Corp. - September 5, 2024) - Thesis Gold Inc. (TSXV: TAU) ...
About this update from Thesis Gold & Silver Inc.
[{"type":"text","content":"Thesis Gold Updated PEA for Lawyers-Ranch Project: After-Tax NPV5% of C$1.28 Billion, IRR of 35.2% and 2.0 Year PaybackVancouver, British Columbia--(Newsfile Corp. - September 5, 2024) - Thesis Gold Inc. (TSXV: TAU) (FSE: A3EP87) (OTCQX: THSGF) is pleased to announce positive results from the updated independent Preliminary Economic Assessment (\"PEA\") for its 100% owned Lawyers-Ranch Project (the \"Project\") in the prolific Toodoggone Mining District of northern British Columbia. The updated PEA outlines a plan for developing the combined Lawyers-Ranch project using both open-pit and underground mining methods, with mineralized material processed at a single facility, achieving an estimated average gold recovery of 93%. The PEA was prepared by JDS Energy & Mining Inc. (\"JDS\") of Vancouver, British Columbia, Canada in accordance with National Instrument 43-101 - Standards of Disclosure for Mineral Projects (\"NI 43-101\"). The updated NI 43-101 PEA Technical Report will be filed on SEDAR+ at www.sedarplus.ca and Thesis Gold's website www.thesisgold.com within 45 days of this announcement. HighlightsStrong Economics: Pre-tax internal rate of return (\"IRR\") of 46.0%, pre-tax net present value at a 5% discount rate (\"NPV5%\") of C$1.99 billion, after-tax IRR stands at 35.2%, and an after-tax NPV5% of C$1.28 billion, using US$1,930 per ounce of gold and US$24 per ounce of silver (see Table 1).Gold Price Sensitivity: The project remains robust at a wide range of gold prices from US$1,750 to US$2,500 with after-tax IRR of 28.8% to 52.8% (see Table 2). Increased Production: The 2024 PEA saw a considerable increase in production versus the previous (2022) PEA with a 32% increase in annual average production to 215,000 gold-equivalent (\"AuEq\"*) ounces, including an average 273,000 gold-equivalent ounces annually over the first three years, and a 55% increase in Life-of-mine (\"LOM\") production to 3.0 million gold-equivalent ounces, extending mine life to over 14 years.Low AISC: LOM all-in sustaining cash cost (\"AISC\") of US$1,013 per ounce of gold equivalent. Quick Payback: The project offers a quick after-tax payback of 2.0 years, a 29% decrease compared to the previous (2022) PEA.Capex: Initial capital expenditure is estimated at C$598.4 million, with a compelling after-tax NPV5% to initial capital ratio of 2.1:1.Projec...