MetalsTech Limited (ASX:MTC) Reports Positive Scoping Study for Sturec Gold Mine
MetalsTech Limited (ASX: MTC) has announced the promising results of its updated Scoping Study for the 100%-owned Sturec Gold Mine in central Slovakia. The study reveals encouraging economics and technical viability, demonstrating the potential for low-cost gold and silver concentrate production from an underground-only mining operation.
Study Highlights
The updated Scoping Study highlights a base case scenario supporting an underground-only mining operation with a projected production of approximately 1.139 million ounces of gold equivalent (AuEq) over an initial mine life of nine years, utilising an annual plant throughput of 2.3 million tonnes per annum (Mtpa).
Key financial metrics include:
– Life of mine (LoM) operating cost estimate of US$1,107 per ounce AuEq, suggesting robust operating margins at forecasted gold prices.
– A pre-tax Net Present Value (NPV) of US$768 million and an impressive Internal Rate of Return (IRR) of 162%.
– Total undiscounted free cash flows estimated at approximately US$910 million.
Approximately 78% of the mining inventory is based on Measured and Indicated Resources, which significantly supports the study’s findings of robust economic potential.
Executive Comments
MetalsTech Director Gino D’Anna noted, “Completion of Sturec’s updated Scoping Study marks a significant milestone for the Company.”
Next Steps
Following this successful study, MetalsTech plans to progress towards a Pre-Feasibility Study (PFS) with Mining One appointed as the Study Manager.
Investors are advised to consider the inherent uncertainties of future funding and other operational dynamics, which may affect the project’s viability. The company remains optimistic about securing the necessary finances to further advance the Sturec Gold Mine.
Motley Fool contributor Kiarra Jackson has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has no position in any of the stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.
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