Kay Mine PEA: $-6M NPV, 4.9% IRR
Arizona Metals Corp.'s Kay Mine in Arizona, USA has a Preliminary Economic Assessment (PEA) outlining an after-tax NPV of $-6M, an after-tax IRR of 4.9%, and initial capital of $609M. The mine plan runs 10 years at about 0.7 Mtpa milling throughput per year.
Arizona Metals Corp.'s Kay Mine has reported Preliminary Economic Assessment (PEA) results for the copper-gold-zinc project in Arizona, USA. The study headlines an after-tax net present value of $-6M at a 5% discount rate. It reflects Arizona Metals Corp.'s (AMC.TO) latest disclosed economics for the asset.
Economics. The after-tax NPV is $-6M using a 5% discount rate. After-tax IRR is 4.9%. Initial capital expenditure is estimated at $609M, with life-of-mine sustaining capital of $87M. The study models a payback period of 5.5 years. Economics are based on Base Case: US$4.70/lb copper, US$1.27/lb zinc, US$3,100/oz gold, US$38/oz silver. Spot Case: US$6.05/lb copper, US$1.57/lb zinc, US$4,745/oz gold, US$77.48/oz silver..
Production and mine plan. The project envisions an underground operation. Life of mine is 10 years. Average annual production is approximately 0.7 Mtpa milling throughput.
Resources and ownership. Mineral resources: Indicated: 9.28 Mt @ 3.18% CuEq; Inferred: 0.86 Mt @ 2.44% CuEq. The company holds a 100% interest in the project. Royalties and streams: No royalties.
These figures are extracted from Arizona Metals Corp.'s technical disclosures and reflect the most recent PEA on file. Compare this project against other developers and producers in our project economics database, and always verify the numbers against the original technical report before making any investment decision.