The company has completed a FS for the first four mines Beta, CDM, Frankfort and Rietfontein (TGME Underground Project). The Base Case LOM plan will comprise a 12.9-year mining operation starting in 2024 Q2 and delivering 1.24 million ounces of contained gold LoM.
The estimated development capital or peak funding requirement is USD77 million (Total CAPEX 100 M USD), with the Project forecast to generate a pre-tax NPV10% of USD324 million (AUD432 million) and pre-tax Internal Rate of Return (IRR) of 65% at the forecast gold price of averaging USD1,642/oz over the LOM.
It is a high-grade gold project that sheds ½ Billion USD free cash post-tax LOM based on our DFS released in July 22. We believe further exploration will increase Life of Mine and the current resource base of 6 Moz.
We be looking for equity and debt to fund the transition from developer to gold production