NOVA SCOTIA – Vancouver-based Resource Capital Gold Corp
. has completed the preliminary economic assessment of its Dufferin gold project in the province. The PEA was prepared by MineTech International
of Halifax and Global Mineral Resource Services
Dufferin is a fully permitted, high grade underground mine that has been on care and maintenance since 2014. With modest pre-production capital expenses of C$9.85 million, the company could restart production after a six month period, followed by the ramp up of mining to 300 t/d over a further six month period.
Over a period of 10 years, the Dufferin mine could production 216,050 oz of gold. The project has an after tax net present value of C$89.2 million and an internal rate of return of 121%. There would also be a cumulative after tax cash flow of C$126.3 million. Average cash cost per ounce is estimated to be C$617.
RCG plans to begin trial production in mid-January with the processing of stockpiled material at the mine. Details about the project are posted at www.RCGCorp.ca.