Sabre Gold Mines Corp. (TSX: SGLD) (OTCQB: SGLDF)has revealed the results of a Preliminary Economic Assessment (PEA) for its 100% owned, road-accessible Brewery Creek Gold Project located in Yukon Territory, Canada.
PEA Highlights:
- After-tax NPV at 5% of $US112 million at an Internal Rate of Return (IRR) of 27.6% at US$1,700 per ounce gold increasing to US$157 million at an IRR of 35.7% at US$1,900 per ounce gold;
- After-tax average annual cash flow of US$36 million at US$1,700 per ounce gold increasing to US$44 million at US$1,900 per ounce gold
- Average Annual Production of 60,000 ounces per year for a total 473,000 ounces gold over an initial eight year mine life;
- Total cash cost of US$850 per ounce and all-in sustaining cost (AISC) US$966 per ounce gold;
- Pre-production capital costs of US$105 million with life of mine sustaining costs of US$18 million;
- Payback period of 2.6 years at US$1,700 per ounce gold;
- Excellent expansion potential to extend mine life and annual production with three open prospective resource areas and several targets within a 182 square km project boundary; and,
- Lower technical and execution risk as a past brownfields producer with existing infrastructure and road access from previous mining operation.
“The PEA and initial results confirms our plans to resume production at Brewery Creek with what will be low re-start capital with attractive economics which we believe will be further enhanced in 2022,” President and CEO, Giulio Bonifacio, said.
“Sabre Gold intends to continue the expansion of gold resources at Brewery Creek and focus on several key opportunities to enhance value, discussed in detail below.
“The PEA is advanced in several categories as the predecessor company was initially targeting completion of a feasibility study. Sabre Gold intends to move to a feasibility level study upon completion of the advancement of key opportunities, those of which will not impact our targeted permitting timeline.
“Our permitting efforts will also now focus on expanding the previously permitted area for purposes of allowing for increases to our annual production profile.”
For further information please visit: https://www.sabre.gold/
