Name of the Project
Yaouré gold project.

Location
The project is located on the southern edge of Lake Kossou, 35 km north-west of the capital, Yamoussoukro, and 25 km east-north-east of Bouaflé, in central Côte d’Ivoire.

Client
Perseus Mining.

Project Description
A definitive feasibility study (DFS) has confirmed the high quality of the Yaouré project.

The project comprises two adjacent pits (CMA and Yaouré), with ore also expected to be sourced from three pre-existing heap-leach pads close to the run-of-mine pad.

The project has an indicated mineral resource as at November 2, 2017, of 43.1-million tonnes grading 1.39 g/t gold and containing 1.93-million ounces of gold. Inferred resources have been estimated at 46-million tonnes grading 1 g/t gold and containing 1.5-million ounces of gold.

Proven and probable reserves have been estimated at 26.8-million tonnes grading 1.76 g/t gold for 1.52-million ounces of gold.

The chosen method for the openpit reserves is conventional openpit mining using hydraulic excavators and trucks.

The process plant will comprise a primary crusher with a 6 MW semiautogenous mill and a 6 MW ball mill, pebble crushing, and a gravity and carbon-in-leach circuit with cyanide detoxification.

The plant will process 3.3-million tonnes a year on average over an 8.5-year mine life, recovering 1.37-million ounces over the period.

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Based on a gold price of $1 250/oz, the project has a net present value (NPV), at a 10% discount rate, of $170-million and an after-tax internal rate of return of 27%, with a payback of 32 months.

At a 5% discount rate, the project has an NPV of $259-million.

Value
The estimated development capital cost is $262.7-million.

Duration
First gold is expected in 2020.

Latest Developments
Perseus planned to finalise all documentation associated with the DFS by the end of December.

Once the documentation is complete, an application will be made to the Côte d’Ivoire Minister for Industry and Mines for an exploitation permit for the development of the project.

In parallel, a mining convention will be negotiated with the Côte d’Ivoire government, establishing the legal framework for development of the project and including a guarantee of fiscal stability from government, for the life of the Yaouré gold mine.

In parallel, Perseus will undertake the front-end engineering design (FEED) study to bring the costs to an accuracy of 10%, after which preliminary construction works may immediately begin. 

The FEED will be completed following the same proven principles as those used at Perseus’s Sissingué mine.

The FEED is scheduled to be completed by mid-2018, followed by an 18-month construction period, with first gold expected in 2020.

Additional identified sources could extend the mine life, with any additions to the ore reserve incorporated into the FEED study.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
Perseus Mining, tel +61 8 6144 1700, fax +61 8 6144 1799 or email info@perseusmining.com.