What's Happening?
Aurelia Metals has announced the completion of a Prefeasibility Study (PFS) for the New Occidental Tailings Retreatment Project at its Peak operation in Central West New South Wales. The company has declared a maiden mineral resource of 2.6 million tonnes
at 0.65 grams per tonne gold for the tailings stockpiles. The project is expected to produce 32,000 ounces of saleable gold over 10 years, with a net present value of $42 million post-tax and an internal rate of return of 258%. The PFS outlines a capital expenditure of $3.3 million, with plans to process the tailings concurrently with lead-zinc ore processing campaigns.
Why It's Important?
The declaration of a maiden tailings resource at Peak is a significant development for Aurelia Metals, as it represents a new avenue for gold production and revenue generation. The project's compelling economics, with a high internal rate of return, suggest strong potential for profitability. This development aligns with the company's strategy to optimize existing resources and infrastructure, potentially enhancing its competitive position in the mining industry. The successful execution of this project could provide a boost to Aurelia's financial performance and shareholder value.
What's Next?
Aurelia Metals plans to advance the project to a Feasibility Study in the first half of FY27, focusing on further metallurgical testing, detailed engineering, and obtaining necessary permits. Construction is expected to commence in the second half of FY27, with production targeted to begin in FY28. The company will continue to engage with stakeholders and investors to communicate progress and potential impacts on its overall business strategy. The upcoming Noosa Mining Conference will provide an opportunity for Aurelia to showcase its plans and achievements to a broader audience.
