West African Resources Limited Delivers Pre-Tax 57% IRR Stage 1 Gold Project
July 28 2014 - 8:38PM
Business Wire
West African Resources Limited (ASX:WAF) (TSX-V:WAF) is pleased
to announce the results of its technical and financial assessment
of a heap leach starter project on its Mankarga 5 project, Burkina
Faso.
This assessment constituted an independently managed scoping
study (Australian JORC Code term) and a preliminary economic
assessment (Canadian NI 43-101 term) and is herein for convenience
referred to solely as the "Scoping Study". It was prepared in
accordance with the requirements of both the 2012 JORC Code and NI
43-101.
Highlights
Base case is stated on a pre-tax basis assuming 100% project at
a gold price of $1,300/oz. All amounts are in US dollars unless
otherwise stated.
- IRR of 57% with a 16 month payback on capital costs - Free
cash flow of $103 million after capital costs
- NPV5% of $84 million
- Pre-production capital of $35 million plus working capital and
contingency of $9 million
- Estimated average annual gold production of 59,400 ounces for
first three years
- Estimated average annual gold production of 44,100 ounces for
life of mine
- Current study mine life of 5.4 years
- Life of mine strip ratio 1:1
- Cash costs of $614/oz
- All-in sustaining cash costs of $685/oz (including cash costs,
royalties, refining & sustaining capital)
Managing Director Richard Hyde, said, "The study has shown that
Stage 1 of the development of Mankarga 5 has a very short payback,
high internal rate of return and NPV two and a half times capital
costs. The study marks an important milestone for us as we can now
transition from explorer to a low capital cost developer, which is
an excellent achievement only six months after acquiring the
Mankarga 5 project."
To view the release, please visit:
http://media.abnnewswire.net/media/en/docs/ASX-WAF-685334.pdf
About West African Resources Limited
West African Resources Limited (ASX:WAF) (TSX-V:WAF) is a
gold-copper exploration company dedicated to creating shareholder
value through the acquisition, exploration and development of
resource projects in Burkina Faso, West Africa.
West African has a landholding of 6,370sq km and 200km of strike
length of early Proterozoic Birimian greenstone belts, which are
highly prospective for gold mineralisation.
Contact
West African Resources LimitedNathan Ryan, Investor RelationsT:
+61-420-582-887E: info@westafricanresources.comWWW:
www.westafricanresources.com
West African Resources LimitedNathan Ryan,
+61-420-582-887Investor
Relationsinfo@westafricanresources.comwww.westafricanresources.com
West African Res (ASX:WAF)
Historical Stock Chart
From Dec 2024 to Jan 2025
West African Res (ASX:WAF)
Historical Stock Chart
From Jan 2024 to Jan 2025
