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NovaCopper Files NI 43-101 Technical Report for the Preliminary Economic Assessment on the Arctic Open-Pit Polymetallic Project
TSX, NYSE-MKT Symbol: NCQ VANCOUVER , Sept. 12, 2013 /CNW/ - NovaCopper Inc. (T...
About this update from Trilogy Metals Inc.
[{"type":"text","content":"\n\n\nTSX, NYSE-MKT\nSymbol: NCQ\n\n\nVANCOUVER, Sept. 12, 2013 /CNW/ - NovaCopper Inc. (TSX, NYSE-MKT: NCQ) (\"NovaCopper\" or the \"Company\") is pleased to\n announce that it has filed a National Instrument 43-101 (\"NI 43-101\")\n technical report (the \"Report\") titled \"Preliminary Economic Assessment\n Report on the Arctic Project, Ambler Mining District Northwest Alaska.\"\n The effective date of this report is September 12, 2013. The PEA was\n prepared by Tetra Tech of Vancouver, Canada, and describes the\n potential technical and economic viability of establishing a\n conventional open-pit mine-and-mill complex for the Arctic\n Copper-Zinc-Lead-Silver-Gold Project (the \"Project\"). The base case\n scenario utilizes long-term metal prices of $2.90/lb for copper,\n $0.85/lb for zinc, $0.90/lb for lead, $22.70/oz for silver and\n $1,300/oz for gold. The PEA was prepared on a 100% ownership basis and all amounts are\n stated in U.S. dollars unless otherwise noted.\n\n\nHighlights of the PEA study were as follows:\n\n\n\nInitial capital expenditure of $717.7 million and sustaining capital of\n $164.4 for total estimated capital expenditures of $882.1 million over\n the estimated 12-year mine life. In addition, closure and reclamation\n costs are estimated at $81.6 million.\n\n\nPre-tax Net Present Value (NPV)8% of $927.7 million calculated at the beginning of the two-year\n construction period and an Internal Rate of Return (\"IRR\") of 22.8% for\n the base case.\n\n\nAfter-tax NPV8% of $537.2 million and after-tax IRR of 17.9% for the base case.\n\n\nEstimated, pre-tax, payback of initial capital in 4.6 years and 5.0\n years after-tax.\n\n\nMinimum 12-year mine life supporting a maximum 10,000 tonne-per-day\n conventional grinding mill-and-flotation circuit to produce copper,\n zinc and lead concentrates containing significant gold and silver\n by-products.\n\n\nLife of mine strip ratio of 8.39 to 1.\n\n\nAverage annual payable production projected to be 125 million pounds of\n copper, 152 million pounds of zinc, 24 million pounds of lead, 29,000\n ounces of gold and 2.5 million ounces of silver for life of mine. On a\n copper equivalent basis, equates to 210 million pounds of copper per\n year.\n\n\nA capital intensity ratio on initial capital of $6,995 per tonne of\n average annual copper produced.\n\n\nEstimated cash ...