Drilling at the DeLamar gold-silver property in Idaho. (Image: Integra Resources)
IDAHO – Vancouver-based Integra Resources says the maiden preliminary economic assessment of the DeLamar gold-silver project 160 km from the capital of Boise is exceptional. The assessment, prepared by MDA Associates, gives the project an after tax net present value (5% discount) of C$472 million and an internal rate of return of 43% after an initial capex of C$213 million.
The case above used a gold price of US$1,350/oz. and a silver price of US$16.60/oz. If the prices are adjusted to US$1,574/oz. of gold and US$18.15 oz. of silver, the NPV (5% discount) jumps to C$623 million and the after tax IRR becomes 55%.
Production at DeLamar focuses on a 27,000-t/d heap leach and a complementary 2,000-t/d mill. In years two through six, the average annual production will be 126,000 oz. of gold and 1.80 million oz. of silver, or 148,000 oz. of gold equivalent. Over the first 10 years of mine operation, the annual numbers are 224,000 oz. of gold equivalent or 103,000 oz. of gold and 1.66 million oz. of silver.
The PEA was based on surface oxide and transitional mineralization at the Florida Mountain and DeLamar deposits. Additional details are posted at www.IntegraResources.com.