Name of the Project
Las Chispas gold/silver project.

Location
The project is located in Sonora, Mexico.

Project Owner/s
SilverCrest Mines.

Project Description
A preliminary economic assessment (PEA) on the Las Chispas project has suggested that it could be a high-margin project, even at low metal prices.

The PEA has focused initial development and production on the high-grade Babicanora, Babicanora FW and Babicanora Norte veins.

The project envisages a 1 250 t/d production rate with an initial mine life of 8.5 years. Average production is estimated at 5.38-million ounces a year of silver and 55 700 oz/y of gold, or 9.6-million ounces of silver equivalent.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
The PEA estimates an after-tax net present value, at a 5% discount rate, of $406.9-million and an internal rate of return of 78%, with a payback of about nine months.

Capital Expenditure
Initial capital expenditure is estimated at $100.5-million.

Planned Start/End Date
Not stated.

Latest Developments
SilverCrest is progressing with a feasibility study for Las Chispas.

The study is expected to be completed in the first half of 2020, with a production decision soon thereafter.

The recommended budget for the feasibility study, field support for the study, ongoing exploration work, exploration decline and development construction over the next 12 months is estimated at $17.5-million.

Key Contracts and Suppliers
Tetra Tech Canada (PEA).

On Budget and on Time?
Not stated.

Contact Details for Project Information
SilverCrest Metals, tel +1 604694 1730 or email info@silvercrestmetals.com.