Northern Vertex submits PEA for Moss mine expansion plan

23 November 2017 (Last Updated June 18th, 2020 09:45)

Northern Vertex Mining has filed a preliminary economic analysis (PEA) on SEDAR in relation to its Moss gold-silver project in north-west Arizona, US. 

Northern Vertex Mining has filed a preliminary economic analysis (PEA) on SEDAR in relation to its Moss gold-silver project in north-west Arizona, US.

Through the PEA, Northern Vertex intends to showcase the technical and economic viability of further expanding operations at the mine to include resources onto its adjacent unpatented mining claims.

Based on the PEA unveiled last month, the company expects the mine to have a life of ten years.

Northern Vertex Mining president and CEO Kenneth Berry said: “This PEA is further encouragement of the scalability of production in the initial years, as well as the potential longevity of the Moss gold mine.

“Eliminating the patented boundary constraints and increasing production to a peak of 60,000 gold equivalent ounces in year four, the PEA indicates the Moss mine project has the potential to measurably improve the economics stated in the company’s Phase II feasibility study published in June 2015.

“This PEA is further encouragement of the scalability of production in the initial years, as well as the potential longevity of the Moss gold mine.”

“Management, in consultation with its board of directors, advisors and financial partners will review the merits of implementing this accelerated schedule at the Moss mine on an expedited basis.”

The extension of the mine is expected to lead to surface disturbance and expansion of the mine facilities onto federal public lands administered by the Bureau of Land Management (BLM).

In order to proceed with the programme, the company is required to seek approval for a mine plan of operations.

The miner is planning to undertake an exploration and resource expansion programme during the first two years of production in order to expand its existing resources.

The project is said to have an after-tax net present value (NPV) of $93m and internal rate of return (IRR) of 52.5%.

In the first four years, the mine is expected to produce 1.9 million tonnes per annum.