The PEA was prepared by the following qualified persons: Antonio Peralta Romero, P.Eng., Principal Mining Engineer, Wood Canada Ltd., Vancouver; Joseph J. Kowalik PhD, QP MMSA Senior Consulting Geologist; Ronald G. Simpson, P.Geo., Mineral Resource Consultant, Geosim Services Inc.; and William Colquhoun, Pr Eng, FSAIMM, Principal Process Manager, Amec Foster Wheeler Peru S.A. (Wood).
The technical report, which is titled ‘Taguas Oxide Gold-Silver Project, San Juan, Argentina, Preliminary Economic Assessment, NI 43-101 Technical Report’ with an effective date of 14 May 2019, can be found under the company's profile at www.sedar.com.
Juan Gavidia, CEO of Orvana stated: "We are pleased to share with the investment community our Taguas PEA, authored by Wood. The highlights of the Taguas PEA, particularly the solid production, cost and revenue assumptions, as summarised in our 28 June 2019 press release, sends a clear message of value creation to Orvana's shareholders. Management is now scoping out next steps to fully take advantage of the potential mineral resource upside, as well as to define the economics of Taguas with greater certainty and with a view of identifying opportunities to improve on the economics, given the latest global macro-economic trends."
Background of the Taguas Property
Orvana entered into an asset purchase agreement on 14 May 2019 with Compañía Minera Taguas S.A. (the Vendor) pursuant to which, Orvana agreed to acquire (the Transaction) the Property. In consideration for 100% of Taguas, Orvana will grant to the Vendor an indivisible net smelter royalty equal to 2.5% on all future metals production mined from the Property.
Taguas consists of 15 mining concessions over an area of 3 273.87 ha. It is located in the Province of San Juan, Argentina, on the eastern flank of the Andes, between 3500 m to 4300 m above sea level. The Property is approximately 25 km north of Barrick Gold Corporation's Veladero mining operations and uses the same infrastructure to reach the Property.
The Toronto Stock Exchange (TSX) has provided conditional acceptance of Orvana's notice of the Transaction, pursuant to the TSX Company Manual. Closing of the Transaction is subject to the final acceptance of the TSX and a number of closing conditions including, without limitation, Orvana's completion of a corporate structure that is acceptable from a tax, corporate and legal perspective relating to the ownership of Taguas.
Read the article online at: https://www.globalminingreview.com/finance-business/10072019/orvana-files-pea-for-taguas-property/
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