Advertisement

Ortac Resources reports completion of Šturec pre-feasibility study

Ortac Resources, a Europe-based exploration and development company, has announced the successful completion of a pre-feasibility study of the Šturec project, a component of the combined precious metals centre, geothermal heating and integrated tourism project due to be unveiled this month.

Ortac Resources, a Europe-based exploration and development company, has announced the successful completion of a pre-feasibility study of the turec project, a component of the combined precious metals centre, geothermal heating and integrated tourism project due to be unveiled this month.

The study gave a maiden ore reserve of 13.97m tonnes at 1.9g per tonne (g/t) gold equivalent, containing 873,000 oz gold equivalent, representing the portion of the 1.3m oz gold equivalent that has now been transferred through to the proven and probably ore reserve categories.

Advertisement - Article continues below

Ortac said the turec project base case demonstrates 'good economic viability', with a net present value at an 8.0% discount rate of $145m (post tax) and internal rate of return of 30%, confirming the potential robust value creation for shareholders and the local region.

The cash operating costs are estimated to be $555 per ounce of gold equivalent, while the pre-production capital expenditure is $124m.

The project has a projected life of 11 years with an average annual production of 71,000 ounces of gold equivalent, and the life of project revenue is estimated to be around $1,046m.

The report made the recommendation to progress to the bankable feasibility stage in order to assess the potential environmental, social and economic impacts and further define the engineering, environmental and social capital requirements for funding.

Ortac Resources Chief Executive Officer Vassilios Carellas said: "We are pleased with the results of this pre-feasibility study which recommends we move to public assessment and consultation.

"The results of the PFS highlight the potential of the turec project to act as an economic engine with the opportunity to drive further local development and co-created businesses.

"Our focus now is to build on the locally viable ideas and undertake an economic, social and environment assessment to help identify potential locally acceptable options to incorporate this economic engine into local development and conservation measures in a way that benefits all stakeholders alike."

NR

Advertisement
Advertisement

Recommended

Broker safety – your questions answered
Investment strategy

Broker safety – your questions answered

Cris Sholto Heaton answers more of your questions about the safety of stockbroker accounts
25 Mar 2020
How demographics affects stock valuations
Investment strategy

How demographics affects stock valuations

New research suggests that stock and bond valuations are driven by the age of the population – at least in the US.
24 Feb 2020
Do you own shares in Sirius Minerals? Here’s what you need to do now
Stocks and shares

Do you own shares in Sirius Minerals? Here’s what you need to do now

Mining giant Anglo American has proposed a cash takeover of Yorkshire-based minnow Sirius Minerals. Unhappy shareholders must decide whether to accept…
20 Feb 2020
Why investors should be “cautiously bullish” for 2020
Stockmarkets

Why investors should be “cautiously bullish” for 2020

Analysts have been out in force making rosy predictions for stockmarkets in 2020, but while there is certainly a case for optimism, investors should r…
17 Jan 2020

Most Popular

OBR: UK house prices could fall by 12% next year
House prices

OBR: UK house prices could fall by 12% next year

The Office for Budget Responsibility says UK house prices could fall by as much as 12% next year. John Stepek looks at how likely that is.
14 Jul 2020
Three ideas for Lloyds Bank's new boss
UK stockmarkets

Three ideas for Lloyds Bank's new boss

The Black Horse needs whipping into shape. A change at the top provides a great opportunity, says Matthew Lynn.
12 Jul 2020
We’re spending more than at any time since World War II – how will we pay it back?
UK Economy

We’re spending more than at any time since World War II – how will we pay it back?

With the UK spending vast sums on stimulus measures, this year’s budget deficit will be greater than at any time since World War II. The big question,…
14 Jul 2020