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Vendetta Announces Positive Preliminary Economic Assessment with Pre-Tax IRR of 31% and NPV (8%) of $204M on Pegmont Lead-Zinc Project
Vancouver, British Columbia--(Newsfile Corp. - January 28, 2019) - Vendetta Mining Corp. (TS...
About this update from Vendetta Mining Corp.
[{"type":"text","content":"Vendetta Announces Positive Preliminary Economic Assessment with Pre-Tax IRR of 31% and NPV (8%) of $204M on Pegmont Lead-Zinc ProjectVancouver, British Columbia--(Newsfile Corp. - January 28, 2019) - Vendetta Mining Corp. (TSXV: VTT) (Vendetta or the Company) is pleased to announce the results of an independent Preliminary Economic Assessment (PEA) for its Pegmont Lead-Zinc Project (the Project) in Queensland, Australia. The PEA was prepared in accordance with National Instrument 43-101 Standards of Disclosure for Mineral Projects (NI 43-101).The PEA was developed by a team of independent consultants, including AMC Mining Consultants (Canada) Ltd., (AMC), GR Engineering Services (GRES), and AARC Environmental Solutions (AARC). Unless otherwise noted, all dollar figures reported are Australian dollars.Project Economic Highlights: Mine Life 10 years at 3,000 tonne per day open pit followed by undergroundLong Term Consensus Metal Prices: $0.94 /lb Lead, $1.09 /lb Zinc and $16.50 /oz SilverUS Dollar to Australian Dollar exchange rate of 0.75Preproduction Capital of $170M and Life of Mine Sustaining Capital of $59MPre-Tax NPV (8%) $201M and IRR 32%After Tax NPV (8%) $124 M and IRR 24%After tax payback period 3.5 yearsSpot price case after tax NPV (8%) $158 M and IRR 27%Spot price case after tax payback period 3.0 yearsAverage annual production of 124M lbs of lead, 50M lbs of zinc and 298K ounces of silverLife of mine all-in sustaining Cash Cost (AISC) of $ 0.71 / lb payable lead in concentrate (after credits)Average net smelter return (NSR) 135 /t of oreOpportunities for continued refinement through further mine plan optimization and metallurgical test workThere remain significant Mineral Resources not included in the PEA mine plan, which, with further drilling will potentially increase the mine life or increase production rateMichael Williams, Vendetta's President and CEO commented \"The results outlined in the PEA demonstrate a robust, stand-alone project. The Project has been able to take advantage of Pegmont's location in the centre of well-developed infrastructure to deliver a pre-start capital that makes this an achievable project to develop for an aspiring junior miner. We are pleased with the strong results of the PEA and intend to now move to add incremental tonnes that can be brought into the mine plan, continue with early...