TSX-listed mine developer NorZinc has received a water licence from the Northwest Territories government for its Prairie Creek project.
Combined with the receipt of the land use permit, announced in mid-August, NorZinc has now completed the permitting process for mining operations at Prairie Creek.
“The receipt of the water licence represents a substantial milestone for the company with respect the advancement of the Prairie Creek project and recognition from the NWT government of the significant impact the project will bring to the region and all stakeholders," said NorZinc president and CEO Rohan Hazelton.
Based on the preliminary economic assessment completed in October 2021 and the envisioned mining rate of 2 400 t/d, the project results in an net present value, using an 8% discount, $299-million with average earnings before interest, tax, depreciation and amortisation of $123-million a year.
NorZinc expects Prairie Creek to deliver more than $8-billion in economic activity to the region over its 20-year mine life.
The company continues to work with the regulatory bodies, Parks Canada and the Mackenzie Valley Land and Water Board, on the completion and final approval of the management plans associated with construction of Phase 1 of the all-season road.
NorZinc expects to receive all Phase 1 approvals from the respective regulators in October.