Toronto, Canada, 11 March 2014: Besra (TSX:BEZ) (ASX:BEZ) (OTCQX:BSRAF) (Frankfurt:OP6) today released an updated Feasibility Study for Stage 1 of its Bau Gold Project which details significantly improved financial data from an already promising project.
Besra CEO John Seton said, “Since the January release of our Feasibility Study for Stage 1 of the Bau Gold Project in East Malaysia, we have updated some of the economic indicators to reflect firmer quotes from refineries for a concentrate off-take agreement, as well as correction of one calculation reference.”
The updates relate to the operating cost per tonne, all-in sustaining cost per tonne, all-in cost per ounce, NPV and IRR. Only these figures have been updated in the feasibility study and all other figures or assumptions remain the same (in particular the reserves and production target).
Most notably NPV8 has increased to $91.4 million from $48.3 million and IRR to 38% from 25.4%.
“As we continue to refine the outcomes of our feasibility study, a number of extrapolations have been carried out on scenarios utilising presently known resources which are NPV-accretive well beyond Stage 1 of the project. Alternative exploration-based scenarios also indicate meaningfully improved economics from potential expansion of the initial Jugan Hill resource utilising previously identified anomalies towards Jugan West. Delineation of such additional resources around Jugan Hill will drive our exploration programme in the immediate future,” said Seton.
Southwesterly perspective of the Bau Gold Trend, showing Jugan Hill Deposit in foreground
The Company has also provided additional information to the Australian Securities Exchange to comply with the reporting obligations under the updated JORC Code 2012. The release is available via the ASX and Besra websites.
A copy of the feasibility study may be downloaded here (119 MB pdf).