Awak Mas to deliver more ounces
PERTH (miningweekly.com) – The economics of the Awak Mas gold project, in Indonesia, have been significantly improved following an updated to the project’s mineral resource estimate and ore reserve.
ASX-listed Nusantara Resources on Monday revealed that on the back of the increased resource and reserve estimate, the Awak Mas project is now expected to produce 1.5-million ounces over its mine life, up from the 1.1-million ounces estimated in the 2018 definitive feasibility study (DFS).
The project’s initial mine life has been extended from 11 years to 16 years, while the capacity has been maintained at 2.5-million tonnes a year. Annual average gold production has been increased slightly from 94 800 oz/y to 96 600 oz/y.
Incorporating a higher gold price than the one considered in the DFS, the project’s net present value has now increased from $152-million to $517-million, while the after-tax internal rate of return has increased from 20% to 45%.
The project’s up-front capital requirement has also increased slightly from $146-million to $156-million, while the expected all-in sustaining cost has increased from $758/oz to $875/oz.
“This outstanding economic assessment update provides a compelling case for advancing Awak Mas through the debt process towards construction development early next year,” said Nusantara MD Neil Whitaker.
The company is looking to finance Awak Mas through a combination of debt, mezzanine finance and equity, including a further investment of $25-million by PT Indika Energy in the project vehicle, which would take its ownership interest in the project to 40%.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
SmartMine IoT has been developed with the mining industry in mind, to provides our customers with powerful business intelligence and data modelling...
VISIT SHOWROOM
Booyco Electronics, South African pioneer of Proximity Detection Systems, offers safety solutions for underground and surface mining, quarrying,...
VISIT SHOWROOM
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation
