Long-awaited McPhillamys to cost A$1bn, says Regis Resources
The long-awaited McPhillamys project, in New South Wales, will require about A$1-billion before it produces its first gold, owner Regis Resources said on Wednesday.
In a definitive feasibility study (DFS) update, the company reported a total construction cost estimate of between A$845-million and A$900-million, and preproduction costs of about A$115-million to A$155-million.
Regis’ last cost estimate for McPhillamys was in the 2017 prefeasiblity study, which pegged capital expenditure at A$215-million.
“The general cost inflation seen globally for construction and permitting required scope increases have clearly escalated costs for McPhillamys,” said MD Jim Beyer.
McPhillamys is a key part of Regis' future growth. The project aims to develop a seven-million-tonne-a-year operation, producing up to 200 000 oz/y of gold over a 10- to 15-year mine life.
Beyer stressed that Regis was taking the necessary time to reduce, as far as possible, the capital required to bring McPhillamys into production through value engineering optimisation.
Regis expects the DFS to be completed by the end of the 2024 financial year in June. The application to New South Wales for a modification to approval conditions, to incorporate scope changes, will take about seven to ten months.
Comments
Research Reports
Projects
Latest Multimedia
Latest News
Showroom
SmartMine IoT has been developed with the mining industry in mind, to provides our customers with powerful business intelligence and data modelling...
VISIT SHOWROOM
From batteries for boats and jet skis, to batteries for cars and quad bikes, SABAT Batteries has positioned itself as the lifestyle battery of...
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
