08 Sep O3 Mining releases positive PEA for gold project in Val D’Or, Québec
TSXV-listed O3 Mining has today published a positive preliminary economic assessment (PEA) for its Marban gold project in the mining region of Val D’Or in Québec, Canada.
The PEA, prepared in accordance with NI 43-101 Standards of Disclosure for Mineral Projects within Canada, contains economic metrics including an after-tax IRR of 25.2% and an after-tax NPV of C$423 million.
The assessment supports an 11,000 tonnes per day open pit project with production spanning 15.2 years with robust economics at a US$1,450 per ounce gold price. The first 12 years will target production in excess of 130,000 ounces gold per year, peaking at more than 161,000 ounces in the ninth year.
“Marban has shown potential to become a highly profitable gold mine in one of the most prolific producing regions in Canada, supported with a PEA produced by the Ausenco team, one of the most experienced and reputable engineering firms working on gold projects in Canada,” said O3 president and CEO Jose Vizquerra.
“The Marban geological team has demonstrated the ability to identify an abundance of gold resources over a very short period. The ongoing drill programme will continue to add to and upgrade resources as we seek to move the project forward towards production.”
O3 Mining will now begin work on a pre-feasibility study to advance project towards production as part of a staged development strategy.