Amex Exploration Unveils Stellar PEA for Perron Gold Project
by Kevin Vincent
Amex Exploration Inc. has announced the results of a Preliminary Economic Assessment (PEA) for its Perron gold project in Quebec, revealing a financially robust project with exceptional potential. The PEA, based on a gold price of US$2,000/ounce and a C$/US$ exchange rate of 1.35:1, demonstrates the project's impressive economics, driven by high grades, low operating costs, and a rapid payback period.
"We are thrilled with the outcome of the PEA, which showcases the exceptional value of the Perron gold project," stated [Company Official's Name], CEO of Amex Exploration. "The robust economics, highlighted by a pre-tax IRR of 59.5% and an after-tax IRR of 40.2%, affirm Perron's potential as a world-class gold mine."
The PEA outlines a 10-year mine life with an average annual gold production of 101,000 ounces, achieved through a processing rate of 1,750 tonnes per day. The project boasts an average diluted gold grade of 5.26 grams per tonne (gpt), with an even more impressive average grade of 6.49 gpt anticipated during the first five years of operation.
The high grades at Perron are a key driver of the project's exceptional economics. The continuity of high-grade mineralization, particularly in the High-Grade Zone, sets Perron apart as a truly remarkable gold discovery.
The project's financial strength is further emphasized by its low all-in sustaining cash cost (AISC) of US$807/ounce over the life of the mine, decreasing to US$739/ounce during the initial five years. These figures position Perron as a low-cost gold producer with the potential to generate significant cash flow.
The initial capital expenditure is estimated at $229 million, with an additional $230 million in sustaining capital expenditure over the mine's life. Notably, the project demonstrates a rapid payback period, with a pre-tax payback of 1.5 years and an after-tax payback of 1.8 years. This quick return on investment further underscores Perron's attractiveness as a high-value gold project.
The PEA confirms our belief in Perron's potential to become a significant gold producer in Quebec. The project's strong economics and rapid payback period create a compelling investment opportunity.
The PEA is based on a mineral resource estimate completed in September 2024, which includes drilling data up to June 30, 2024. With approximately 600,000 meters of fully funded drilling expected to be completed by the end of 2025, there is significant potential to further expand the mineral resource and enhance the project's economics.
Amex Exploration is confident that the Perron gold project will emerge as a leading gold mine in Quebec, contributing to the province's mining industry and creating economic benefits for the local community.
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