Name of the Project
Cape Flattery silica sand project.

Location
Far North Queensland, Australia.

Project Owner/s
Metallica Minerals.

Project Description
A scoping study has been updated to incorporate a new mineral resources estimate and support the statement of a production target.

The updated mineral resources includes 47.8-million tonnes in the measured and indicated categories, supporting a forecast run-of-mine (RoM) extraction of 1.8-million tonnes a year of RoM to generate 1.35-million tonnes a year silica sand product sales over a 22-year mine life.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The updated production target supports an estimated project pretax net present value, at an 8% discount rate, of $253-million and an internal rate of return of 38%, with a payback on capital of 2.9 years.

Capital Expenditure
The updated scoping study estimates construction capital at A$65.5-million.

Planned Start/End Date
A prefeasibility study (PFS) is under way and planned for completion in the first quarter of 2022.

Latest Developments
The findings of the project’s updated scoping study have provided very positive and solid financial results, which underpin the basis for Metallica to continue to further evaluate and potentially develop the project.

Metallica is working to continue further studies to support the completion of a PFS. Based on the July/August 2021 drilling programme results, Metallica is working to complete the updated metallurgical testing and reporting in the coming months – this work is under way with Mineral Technologies.

Key Contracts, Suppliers and Consultants
Mineral Technologies (metallurgical testing and reporting).

Contact Details for Project Information
Metalica Minerals, tel +61 7 3249 3000 or email metallicaminerals.com.au.