DFS validates Osino’s plans for Namibia gold mine
The Twin Hills gold project, in Namibia’s prospective Damara mineral belt, has been validated as a “very robust, cash generative project that will deliver outstanding returns”, Osino Resources cofounder and CEO Heye Daun has said.
The Vancouver-based company this week announced the results of its definitive feasibility study (DFS) for Twin Hills, which confirmed plans for a 13-year mining operation, producing an average of 162 000 oz/y at an all-in sustaining cost of $1 011/oz.
“The DFS confirms Twin Hills as a technically simple, long-life and low-cost gold project with very strong economics and plenty of upside,” said Daun.
The company is aiming to reach a fully financed construction decision for the $365-million project by the end of 2023, with gold production pencilled in for the end of 2025 or early 2026.
The DFS calculated a pretax net present value (NPV) of $742-million and an internal rate of return (IRR) of 34%, using a discount of 5% and a $1 750/oz gold price.
At spot gold prices of $1 950/oz, the project generates just under $1.5-billion of net pretax cashflows, demonstrating the strong margins, cash generation potential and economics of the project.
Twin Hills lies in proximity to and along strike of the producing openpit Navachab and Otjikoto gold mines.
The project has a pretax NPV, at a 5% discount rate, of $783-million and an IRR of 33% at a gold price of $1 700/oz, with a payback of 2.3 years.
The initial capital cost of the project is estimated at $375-million.
Comments
Research Reports
Latest Multimedia
Latest News
Showroom
Rittal is a world leading provider of top-quality integrated systems for enclosures, power distribution, climate control, IT infrastructure and...
VISIT SHOWROOM
Weir Minerals Europe, Middle East and Africa is a global supplier of excellent minerals solutions, including pumps, valves, hydrocyclones,...
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
