Name of the Project
Great Cobar base metals and gold project.

Location
Central-western New South Wales, Australia.

Project Owner/s
Aurelia Metals.

Project Description
A prefeasibility study (PFS) has supported the life extension of the Peak operation and has demonstrated a robust technical and economic case for low-risk brownfield development of the copper-rich Great Cobar deposit through an access decline and underground mining.

The PFS outcomes support the declaration of a maiden ore reserve estimate of 840 000 t at 2% copper, 1 g/t gold and 4 g/t silver, increasing the total ore reserve estimate by 19% to 3.2-million tonnes.

Mining will be conducted using a longhole stoping mining method at a maximum ore production rate of 500 000 t/y.

Initial mining and processing of Great Cobar is expected to be conducted over an estimated five-year mine life and deliver 47 000 t of copper and 61 000 oz of gold.

Aurelia mentions in the PFS that there remains substantial opportunity to further extend the Great Cobar deposit from:

resource extension up dip and down dip to the Anjea zone within the main copper lens;

potential economic copper mineralisation down dip of the historically mined central lens to Cagn;

potential economic gold, lead and zinc mineralisation on the western margin to the historical workings; and

potential repeat systems down plunge of the Dapville system south of the Great Cobar deposit.

Potential Job Creation
The development is expected to sustain 400 jobs, and an additional 140 during the construction.

Net Present Value/Internal Rate of Return
The direct cash flow analysis using long-term revenue related assumptions of A$13 353/t copper, A$2 561/oz gold and A$32/oz silver yielded an after-tax net present value, at a7% discount rate, of A$99-million and an internal rate of return of 49%.

Capital Expenditure
Preproduction capital expenditure (capex) is estimated at A$35-million, with residual life-of-mine capex estimated at A$50-million.

Planned Start/End Date
First stope production is expected about 18 months from the start of the access decline; decline works are scheduled to start in July 2022, with forecast delivery of first production ore in late 2023.

Latest Developments
The New South Wales government has given gold miner Aurelia Metals regulatory approval to extend the life of its Peak gold and base metals operations until 2035, issuing the company with development consent for the new Cobar complex.

The approval allows for the establishment of an underground mine at the Great Cobar copper/gold deposit.

The project is expected to proceed directly to implementation.

Key Contracts and Suppliers
None stated.

Contact Details for Project Information
Aurelia Metals, tel +61 7 3180 5000 or email office@aureliametals.com.au.