In addition to the current open pit operations the Company has completed a Preliminary Feasibility Study (PFS) for the extension of operations of Penny’s Find underground, which has outline a robust financially viable project. Penny’s Find is located approximately 50km north-east of Kalgoorlie in the Eastern Goldfields of Western Australia.
The underground mine design and planned mining schedule is estimated to produce 329.9kt at a fully diluted grade of 3.2g/t Au for 33.5koz gold over an approximate 23 month mine life. An assumed metallurgical recovery of 88.9% recovers 29.8koz under an anticipated third-party toll milling arrangement in the region.
The project is estimated to generate $24.0M of free cashflow (after capital) at an assumed gold price of A$3,600/oz. The Maiden Ore Reserve declared constitutes 99.7% of the production target and currently stands at 328.3kt with a grade of 3.2 g/t Au containing 33.4koz Gold.
Penny’s Find is fully permitted with all statutory approvals in place.
The current Mineral Resource at Penny’s Find is 429kt at a grade of 4.57g/t Au for 63koz of gold at a 1.5g/t Au cut-off grade.