- Discovery Silver (DSV) has released esults from its Preliminary Economic Assessment (PEA) on its Cordero silver project located in Chihuahua State, Mexico
- The PEA demonstrates that Cordero has the potential to be developed into a highly capital efficient mine that offers the combination of margin, size and scaleability
- Forbes Gemmell, VP Corporate Development sat down with Caroline Egan to highlight the assessment
- Highlights of the PEA include a projected NPV of $1.2B and 38 per cent IRR at current silver prices
- Discovery Silver Corp is an exploration and development company building a large-scale, high-margin silver asset in Mexico
- Discovery Silver Corp. (DSV) is up 4.42 per cent on the day, trading at C$1.89 per share at 1:40 pm EST.
Discovery Silver (DSV) has released results from its PEA on its Cordero silver project located in Chihuahua State, Mexico.
Forbes Gemmell, VP Corporate Development sat down with Caroline Egan to highlight the assessment.
Highlights
- Excellent project economics:
Base Case after-tax NPV5% of $1.2 B (C$1.5 B) and IRR of 38% (Ag – $22.00/oz, Au – $1,600/oz, Pb – $1.00/lb and Zn – $1.20/lb). - Exceptional silver price leverage:
Upside case after-tax NPV5% of $1.9 B (C$2.4 B) and IRR of 55% (Ag – $27.50/oz, Au – $1,880/oz, Pb – $1.10/lb and Zn – $1.45/lb based on one-year trailing 90th percentile prices). - Large-scale, high-margin, long mine life asset:
16-year mine life with average annual production of 26 Moz AgEq at an AISC of $12.35/oz AgEq. - Low capital intensity:
Initial development Capex of $368M; attractive NPV-to-capex ratio of 3.2x.
Discovery’s flagship project is its 100 per cent-owned Cordero project, one of the world’s largest silver deposits.
The PEA, completed in November 2021, demonstrates that Cordero has the potential to be developed into a highly capital efficient mine that offers a combination of margin, size and scalability. Cordero is located close to infrastructure in a prolific mining belt in Chihuahua State, Mexico. Continued exploration and project development at Cordero is supported by an industry-leading balance sheet with cash of over C$75 million.
Discovery Silver Corp. (DSV) is up 4.42 per cent on the day, trading at C$1.89 per share at 1:40 pm EST.