https://finance.yahoo.com/news/sunridge-gold-files-amended-ni-110000035.html
Sunridge Gold Files Amended Ni 43-101 Technical Report on the Feasibility
Study for the Asmara Project, Eritrea
Sunridge Gold Corp. 2 hours ago
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VANCOUVER, British Columbia--(BUSINESS WIRE)--
Sunridge Gold Corp. (SGC:TSX.V/SGCNF:OTCQX) (the "Company") announces it
has filed on SEDAR an amended Technical Report ("the Amended Report") dated
March 27, 2014 on the independent Feasibility Study on the Asmara Project,
Eritrea with an effective date of May 16, 2013. The Amended Report includes
the updated values from the financial model which increased the Base Case
post-tax net present value ("NPV") from $345 million to $428 million. As
announced on March 27, 2014, the increased numbers are based on the Company
receiving clarity on the tax laws of Eritrea, specifically the application
of historic expenditures and depreciation in the financial model. The
pre-tax value of $692 million NPV (discount rate 10%) remains unchanged.
The Amended Report demonstrates that the mining of all four advanced
deposits that make up the Asmara Project (Emba Derho, Adi Nefas, Gupo Gold
and Debarwa) and processing of the ore near the large Emba Derho deposit is
economically robust with a pre-tax NPV (using a 10% discount rate) of $692
million and a post-tax NPV now at $428 million. The new post-tax number is
a significant increase of $83 million from the original post-tax NPV (10%)
of $345 million.
The following outlines the Base Case Highlights from the Study.
NPV of $692 million at a 10% discount (pre-tax)
NPV of $428 million at a 10% discount (post-tax)
Internal rate of return (IRR) - pre-tax 34%, post-tax 27%
Base Case metal prices used - $3.25/lb copper, $1.00/lb zinc, $1,400/oz
gold, $25.00/oz silver
Amended Report
The Amended Report incorporates the updated application of Eritrean tax
laws was completed by lead engineering company SENET with support from
Snowden Mining Industry Consultants Inc. on resource estimation, mine
design, mine planning and economic modelling in addition to work by Knight
Piésold Ltd. on water and waste management design. Blue Coast Metallurgy
Ltd. directed metallurgical test-work.
Qualified Person
Michael Hopley, President and CEO of Sunridge Gold Corp. is the Company's
Qualified Person responsible for the contents of this press release and has
reviewed the information in the release and confirmed that it is consistent
with that provided by the independent Qualified Person responsible for the
Study.
About Sunridge
Sunridge is a mineral exploration and development company focused on the
acquisition, exploration, discovery and development of base and precious
metal projects on the Asmara Project in Eritrea. Sunridge currently has
approximately 210 million shares outstanding and trades on the TSX Venture
Exchange under the symbol SGC. For additional information on the Company
and its projects please view the slide show on our website at
www.sunridgegold.com or call Greg Davis at the number listed below.
SUNRIDGE GOLD CORP.
"Michael Hopley" For further information contact:
Michael Hopley, President and Chief Executive Officer Greg Davis, VP
Business Development
Email: greg_at_sunridgegold.com
Tel: 604-688-1263 (direct)
Neither the TSX Venture Exchange nor its Regulation Services Provider (as
that term is defined in the policies of the TSX Venture Exchange) accepts
responsibility for the adequacy or accuracy of this release. This news
release contains forward-looking statements that are based on the Company's
current expectations and estimates. Forward-looking statements are
frequently characterized by words such as "plan", "expect", "project",
"intend", "believe", "anticipate", "estimate", "suggest", "indicate" and
other similar words or statements that certain events or conditions "may"
or "will" occur. Such forward-looking statements involve known and unknown
risks, uncertainties and other factors that could cause actual events or
results to differ materially from estimated or anticipated events or
results implied or expressed in such forward-looking statements. Forward
looking statements may include the timing and success of any application
for a mining license or of debt financing and completion of definitive
documentation with ENAMCO. Risk and uncertain factors include, among
others: the actual results of current exploration activities; conclusions
of economic evaluations; changes in project parameters as plans to continue
to be refined; possible variations in ore grade or recovery rates;
accidents, labour disputes and other risks of the mining industry; delays
in obtaining governmental approvals, a mining license, or debt financing,
uncertainties in negotiating commercial arrangements with government
entities; and fluctuations in metal prices. There may be other factors that
cause actions, events or results not to be as anticipated, estimated or
intended. Any forward-looking statement speaks only as of the date on which
it is made and, except as may be required by applicable securities laws,
the Company disclaims any intent or obligation to update any
forward-looking statement, whether as a result of new information, future
events or results or otherwise. Forward-looking statements are not
guarantees of future performance and accordingly undue reliance should not
be put on such statements due to the inherent uncertainty therein.
Commodity Markets
Finance
Eritrea
Contact:
Sunridge Gold Corp.
Greg Davis, 604-688-1263 (direct)
VP Business Development
greg_at_sunridgegold.com
Received on Wed Apr 30 2014 - 09:42:05 EDT