Canadian zinc miner Callinex has filed an updated technical report for its 100% owned Nash Creek project, in New Brunswick, outlining a major increase in contained zinc, lead and silver mineralisation within the indicated and inferred categories.
A 2018 maiden preliminary economic assessment (PEA) on the company’s Nash Creek and Superjack projects outlined potential for an openpit mining operation that generates a strong economic return, with a pre-tax internal rate of return of 34.1% and a pre-tax net present value, at an 8% discount rate, of C$230-million over a ten-year mine life.
The company believes there is a clear opportunity to significantly enhance the project’s economics with additional exploration.
The PEA is preliminary in nature and includes inferred mineral resources that are considered too speculative geologically to have the economic considerations applied to them that would enable them to be categorised as mineral reserves.
The current mineral resource at Nash Creek now hosts indicated mineral resources totalling 13.6-million tons averaging 3.2% zinc containing 963-million pounds of zinc equivalent mineralisation and an inferred mineral resource totalling 5.9-million tonnes averaging 3.1% zinc containing 407-million pounds of zinc equivalent mineralisation.