Callinex Mines Inc. has announced that it has filed a NI 43-101 Technical Report for its 100% owned Nash Creek project located within the Bathurst mining district of New Brunswick. The updated resource estimate outlined a major increase in contained zinc, lead and silver mineralisation within ‘indicated’ and ‘inferred’ categories.
A 2018 maiden preliminary economic assessment (PEA) on the company’s Nash Creek and Superjack projects outlined potential for an opencast mining operation that generates a strong economic return with a pre-tax internal rate of return (IRR) of a 34.1% (25.2% post-tax) and a pre-tax net present value (NPV) at an 8% discount rate of CAN$230 million (CAN$128 million post-tax) over a 10 year mine life. The company believes there is a clear opportunity to significantly enhance the project’s economics with additional exploration. A technical report for the PEA will be issued within 30 days.
Cautionary note on PEA: the PEA is preliminary in nature and it includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorised as ‘mineral reserves’. There is no certainty that the PEA will be realised.
The current mineral resource at Nash Creek now hosts indicated mineral resource totalling 13.6 million t averaging 3.2% Zn Eq. (2.7% Zn, 0.6% Pb and 17.9 g/t Ag) containing 963 million lb of zinc equivalent mineralisation and an inferred mineral resource totalling 5.9 million t averaging 3.1% Zn Eq. (2.7% Zn, 0.5% Pb and 14.0 g/t Ag) containing 407 million lb of zinc equivalent mineralisation.
The company’s project portfolio now contains indicated resources of 13.6 million t averaging 3.2% Zn Eq. for a total of 963 million lb and total inferred resources of 23.2 million t averaging 5.2% Zn Eq. for a total of 2.7 billion lb from the Nash Creek, Superjack and Point Leamington projects.
Read the article online at: https://www.globalminingreview.com/exploration-development/08062018/callinex-files-report-on-nash-creek-project/