- Aurcana Silver Corporation (AUN) updated its feasibility study for the Revenue-Virginius Mine and restructures the Mercuria loan
- The company expects a total production at the mine of approximately 17.7 million payable silver equivalent ounces
- The study confirms an after-tax net present value 5.00 per cent (NPV5) of US$109 million
- Total costs for the mine are approximately US$20 million
- Aurcana and Mercuria have signed off on certain restructuring agreements effective March 8th in regards to his loan, offering more support to Aurcana
- Aurcana Silver Corporation (AUN) is down 10.29 per cent trading at $0.30 per share as of 4:11 p.m. ET
Aurcana Silver Corporation (AUN) has updated its feasibility study for the Revenue-Virginius Mine.
The updated feasibility study re-affirms the substantial value of the RV Mine with a five per cent after-tax net present value (NPV) of US$108.8 million.
Preparations for the updated feasibility study included site visits conducted to review the status of the mine and completed a detailed review of all geologic and operational data.
The updated feasibility study expects a total production at the mine of approximately 17.7 million payable silver equivalent ounces, including approximately 13 million payable ounces of silver. This will be over a 6.25-year life for the current mineral reserve base at an All-in Sustaining Cost (AISC) of US$12.55 per ounce over the life of mine.
The study assumes it will take five months of operations to complete the #1 Alimak Hoist followed by finalization of development of, four full mining faces, and then ramping up production thereafter.
The updated feasibility study estimates total costs to cash flow positive of approximately US$20 million, with the majority being pre-production operating costs associated with completing the underground development.
Aurcana continues to review opportunities to reduce the required funding through improved productivity, as well all other options for sourcing the required funds to achieve sustainable production at the RV Mine.
To fund the restart of the RV Mine a subsidiary of Aurcana entered a 5-year, $28 million term loan.
Aurcana and Mercuria have signed off on certain restructuring agreements effective March 8th in regards to his loan, offering more support to Aurcana.
Aurcana Silver Corporation (AUN) is down 10.29 per cent trading at $0.30 per share as of 4:11 p.m. ET.