Name of the Project
Prairie Creek zinc/lead/silver project.
Location
Northwest Territories, Canada.
Client
Canadian Zinc.
Project Description
Prairie Creek has total proven and probable reserves of 8.07-million tonnes grading 124.22 g/t silver, 8.1% lead and 8.64% zinc.
A feasibility study completed on the project has confirmed that the Prairie Creek mine can support a significant increase in the mining rate and mill throughput, which will allow for the production of higher quantities of zinc, lead and silver at lower operating costs, compared with the mine plan presented in the 2016 prefeasibility study (PFS).
The feasibility mine plan covers a 15-year life-of-mine from mill start-up.
The study estimates a mining rate of 1 600 t/d, an increase of 18.5% on the 2016 PFS.
Mill throughput after dense-media separation has also increased by 25% to 1 200 t/d.
Average yearly production of lead concentrates has increased by 16 000 t/y to 71 600 t/y, compared with the 2016 PFS, while the grade of lead in the lead concentrates has also improved.
Average yearly total contained lead in zinc and lead concentrates is 105-million pounds a year, an increase of 23-million pounds, while the average yearly production of silver has also increased 25% to 2.1-million ounces a year.
Average yearly total contained zinc and lead concentrates have increased by about 7% from 82-million pounds in the 2016 PFS to 88-million pounds a year.
Potential Job Creation
Not stated.
Net Present Value/Internal Rate of Return
The project has an estimated pretax net present value, at an 8% discount rate, of C$344.5-million, a 21% increase on the 2016 PFS, with an internal rate of return of 23.8%. Payback has been estimated at 4.4 years.
Value
Preproduction capital costs have increased from C$244-million in the 2016 PFS to C$278.9-million, including contingency, primarily because of the expansion in mine and mill throughput and accelerated mine development.
Duration
Not stated.
Latest Developments
None stated.
Key Contracts and Suppliers
None stated.
On Budget and on Time?
Not stated.
Contact Details for Project Information
Canadian Zinc VP corporate affairs Jospeh Lanzon, tel +1 613 796 5957 or email joseph@canadianzinc.com.