Aurelia Metals has completed a pre-feasibility study (PFS) for the New Occidental Tailings Retreatment Project at its Peak operation in central-west New South Wales (NSW), Australia.
The project proposes reprocessing two gold-bearing, dry-stacked tailings stockpiles located around 3km from the Peak processing plant.
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The tailings were created from material that underwent processing in the late 1980s prior to being deposited in stockpiles.
The study has resulted in Aurelia’s declaration of a maiden mineral resource estimate of 2.6 million tonnes (mt) at 0.65 grams per tonne (g/t) gold, and a maiden ore reserve estimate of 2.3mt at 0.64g/t gold, as of 30 April 2026.
The tailings are set to be reclaimed and hauled for processing through the existing Peak plant’s tertiary ball mill and carbon-in-leach circuit.
Aurelia Metals forecasts production of approximately 32,000oz of saleable gold over ten years.
The project’s capital cost is estimated at A$3.3m ($2.3m), with A$2.7m allocated to plant upgrades including a new wet trommel, dewatering cyclone and trash screen.
Road improvements and preparatory works account for the remainder.
Economic modelling for the retreatment initiative, based on an average gold price of A$5,017/oz and as of 1 January 2027, estimates a post-tax net present value of A$42m at an 8% discount rate, and an internal rate of return of 258%.
Peak Gold Mines, a subsidiary of Aurelia Metals, holds the relevant mining lease, which is scheduled to expire in September 2033.
Aurelia Metals plans to seek development approval from the Cobar Shire Council following initial discussions.
The project is set to progress to a full feasibility study.
During the first half of fiscal year 2027 (H1 FY27), planned work includes additional metallurgical testing, completing detailed engineering and capital cost assessments, and seeking permit approvals from the CSC.
Construction activities are expected in H2 FY27, with production due to begin in FY28.
Aurelia Metals managing director and CEO Bryan Quinn said: “The New Occidental Tailings Retreatment Project is a great example of our technical and operational teams continuing to unlock material additional value from Aurelia’s existing infrastructure at Peak.
“The project capitalises on recent optimisation initiatives at Peak, particularly the installation of the tertiary ball mill from Dargues, which creates the opportunity to process the tailings material concurrently with Pb/Zn [lead/zinc] ore processing campaigns, at low incremental capital and operating costs.”
Earlier this month, Legacy Minerals signed a binding earn-in and farm-in agreement with Peak Gold Mines regarding its Cobar Project in NSW.
