Papillon Resources Ltd has released the results of a prefeasibility study on the Fekola gold project in Mali estimating a 306,000oz/y open pit mine that would cost US$292 million to build.
All-in-sustaining cash costs of approximately US$725/oz have been estimated during the initial nine-year mine life.
Average annual operating cash flow would be US$190 million using the base-case US$1,300/oz gold price, with positive cash flows at lower prices.
Papillon’s managing director and chief executive, Mark Connelly said: “Our sensitivities show that, using our current mining schedules, Fekola will still produce average pre-tax (post royalty) operating cash flows in excess of US$130 million per annum using a flat US$1,100/oz gold price.”
The company would now undertake a review process prior to the award of the definitive feasibility study (DFS).
“Opportunities to further enhance the project economics through capital and operating cost reductions identified during the review phase will be incorporated into the final scope of the DFS,” said Papillon.
没有评论:
发表评论