Cardinal Namdini Pre-Feasibility Study 4.76 Moz Ore Reserve
- 4.76 million ounces from 129.6 Mt @ 1.14 g/t Au at 0.5 g/t cut-off Maiden Probable Ore Reserve estimate
- US$ 1,105/oz gold price used to provide a Life of Mine (LOM) optimised pit converting 73% of the 6.5Moz Indicated Mineral Resource to Probable Ore Reserves
- US$ 1,250 gold price financial model generated a 38% Post-Tax Internal Rate of Return (IRR)
- US$ 599/oz all-in sustaining costs (AISC) for the first 2.5 years inclusive of 1.8-year payback period
- US$ 414M (down from US$ 426M) Capital development cost for the 9.5 Mtpa throughput plant
- 1.06 Moz at 1.31 g/t Au and strip ratio of 0.5 to 1 (waste to ore) for first 2.5 years of production (Starter Pit)
- 86% Metallurgical recovery for Starter Pit and 84% for LOM with ongoing optimisation testwork
Comments from Archie Koimtsidis, Managing Director and Chief Executive Officer:
"We now have a compelling Business Case to move into the Definitive Feasibility Study (DFS) phase for the 9.5 Mtpa throughput processing facility based upon the optimum Return On Capital Employed (ROCE). The Feasibility Study (FS) is fully funded and will form the basis for the development of our Namdini Project in Ghana with completion anticipated in Q3 2019.
The PFS study confirms the Namdini Project as one of Ghana's and Africa's most promising undeveloped, large gold assets. The financial modelling of the project shows it to be technically sound and financially viable and could generate US$ 1.4 billion free cash flow (pre-tax) utilising the 9.5 Mtpa throughput model."
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About Cardinal Resources Ltd
The Company is focused on the development of the Namdini Project with a Maiden Ore Reserve of 4.76Moz and is now advancing the feasibility study.
Exploration programmes are also underway at the Company's Bolgatanga (Northern Ghana) and Subranum (Southern Ghana) Projects.
Cardinal Resources Ltd