Maritime Resources Corp. (TSX.V: MAE)has announced feasibility study results for its 100% owned Hammerdown Gold Project in the Baie Verte mining district of Newfoundland and Labrador, Canada.
The company’s Feasibility Study supports a technically straightforward, brownfields open pit mine and gold processing operation benefiting from low capital investment and rapid payback.
Maritime has stated that the attractive financial return profile enables the company to pursue mine life extensions, and follow-up on exciting exploration opportunities within Maritime’s 400 km2 land package in the Baie Verte mining district. Unless otherwise indicated, all dollar amounts are expressed in Canadian dollars.
Highlights of the study include an open pit mine with run of mine grade of 4.46gpt Au and on-site crushing and sorting plant producing 700tpd of mill feed grading 6.76gpt Au. Mineral processing at Maritime’s 700tpd gold circuit at the Nugget Pond mill facility, with a life of mine payable gold production of 247,000oz, averaging 50,000oz annually.
$102.8M after tax net present value (5% discount) with 48.1% internal rate of return, 1.7-year payback at US$1,750/oz base case gold price (three-year trailing average). $75.0M estimated initial capital cost with $4.9M in net sustaining capital, US$912/oz gold all-in sustaining cost, and several near-mine exploration opportunities to grow resources and extend mine life.
Garett Macdonald, President, and CEO, commented, “The completion of the Hammerdown Gold Project Feasibility Study is a positive step forward for the Company and positions Hammerdown as one of the highest return, highest grade open pit development projects located in a top tier jurisdiction with tremendous exploration upside.
We view Hammerdown as a great starter mine for the Company with an average of 50,000 ounces of annual gold production and $41.4M of annual free cash flow. Permitting is well advanced with the Project released from provincial Environmental Assessment in 2021.”
For further information please visit: https://maritimeresourcescorp.com/
