GOLD: Atlantic Gold updates DFS for Touquoy project

NOVA SCOTIA – Atlantic Gold of Australia has had another look at its Touquoy gold project northwest of Halifax and taken the opportunity to update the definitive feasibility study for the proposed open pit mine and mill.

The company says the ore reserves (9.59 million tonnes at 1.48 g/t Au or 454,000 contained oz), production over a five-year mine life (422,000 oz), and 2.0 million t/y gravity/CIL processing plant remain unchanged.

The update was produced using a price of US$1,300 per oz. The pre-tax net cash surplus will be C$231 million, giving the project a net present value of C$132 million and a projected internal rate of return of 38.0%. Pre-production capital costs are put at C$142 million, including working capital, closure and contingency. The all-in sustaining cash cost is expected to be C$622/oz.

Atlantic Gold also owns the Cochrane Hill gold project in Nova Scotia. See the website at AtlanticGold.com.au for more information.