March 8, 2022
Anacortes Mining (TSXV:XYZ) (OTCQB:XYZFF) Preliminary Economic Assessment for Tres Cruces Estimates After-Tax NPV 5% of US$165.9 Million
- Anacortes Mining Corp. has released the results of a preliminary economic assessment (PEA) for its Tres Cruces gold oxide project
- Highlights include pre-tax net present value at a 5% discount rate (NPV 5%) of US$294.3 million, and after-tax NPV 5% of US$165.9 million
- Anacortes estimates that in the first seven years of production it will mine approximately 588,000 ounces of gold
- This assessment will form the basis for Anacortes’ upcoming exploration activities
- Anacortes Mining (XYZ) is up 15.44% since announcing that they would be releasing the PEA results on March 4
Anacortes Mining Corp. has released the results of a preliminary economic assessment (PEA) for its Tres Cruces gold oxide project.
Located in the prolific mining district of northern Peru, the Tres Cruces project is one of the highest-grade oxide deposits in the world and hosts indicated resources of 2,474,000 oz at 1.65 g/t gold.
The PEA estimates yearly average gold production of 68,000 resources over an initial oxide mine life of seven years, with peak production of 81,000 ounces in the second year. With average daily throughput of 5,800 tonnes per day (tpd), Anacortes estimates that in the first seven years of production it will mine approximately 588,000 ounces of gold.
“We intend to aggressively advance the development of the oxide resource to deliver shareholder value in a timely and socially responsible way,” said Anacortes CEO Jim Currie, “but we will continue to emphasize that Tres Cruces has exceptional exploration potential at depth.”
The pre-tax net present value at a 5% discount rate (NPV 5%) for Tres Cruces is an estimated US$294.3 million, with an after-tax NPV 5% of US$165.9 million. With an internal rate of return (IRR) of 33%, the Company has estimated a 2.1 year payback at US$1,700/ounce.
This assessment will form the basis for Anacortes’ upcoming exploration activities.
“The existing 1.8 million ounce sulphide gold resource below the oxide cap will be further evaluated with our upcoming drill program,” said Mr. Currie. “This program will deepen holes that ended in wide zones of high-grade mineralization to test the extent of the deposit and include infill drilling to increase the confidence in the resource as we move Tres Cruces forward.”
Anacortes Mining Corp. is a new growth-oriented gold company in the Americas which owns a 100-per-cent interest in the Tres Cruces gold project located in Peru. The Company continues to seek further growth opportunities in the Americas, with the goal of creating the next mid-tier multi asset gold producer.
Anacortes Mining (XYZ) is up 15.44% since announcing that they would be releasing the PEA results on March 4, 2022.
For more information about Anacortes Mining and the Tres Cruces Project, visit the Company’s website. To view the full version of this release, click here.
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