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Magna Mining completes PEA on Crean Hill Project near Sudbury

Jul 31, 2023

Study Demonstrates Base Case 15 Year Mine Life and Significant Potential Synergies with the Shakespeare Project

Magna Mining Inc. is pleased to announce the successful completion of its Preliminary Economic Assessment by Stantec on its 100% owned Crean Hill Nickel Project located in Sudbury. 

The Base Case scenario for the PEA envisions a combination of open pit and underground mining, with Life of Mine ("LOM") potential mineable resource being sold to a third-party existing mill in Sudbury. Initial underground mining would be accessed from a new ramp developed from surface, prior to rehabilitation of the existing shaft to access and hoist from the lower elevations. Resources are mined, crushed, and sampled onsite, then trucked to the third-party mill for processing. An alternative milling scenario was studied comparing the economics of the Base Case with an Alternative Processing scenario ("Alternative Processing") through a future mill at the Company's Shakespeare Project. 

Magna Mining CEO Jason Jessup commented: "This Preliminary Economic Assessment demonstrates why we think the Crean Hill Nickel Project has the potential to be the next nickel producing mine in Canada. The results of the Base Case study show positive economics, a long mine life, modest upfront capital cost, and minimal permitting required before commencing advanced exploration development. The Crean Hill Project contains a large potentially mineable resource, and the current PEA schedule has not yet been fully optimized. The next technical study will look at further optimization of cut-off grade, stope design and scheduling to maximize revenues during the first years of mine life. It will incorporate not only the diamond drilling that Magna has completed on Crean Hill since the acquisition in 2022 but also the economics of a fully integrated mining complex with Magna's Shakespeare Project. The results of the Alternative Processing scenario considered in the PEA demonstrate potential robust economics, which makes a compelling case to proceed with this work. This is consistent with Magna's vision of developing a hub and spoke production model in the world class Sudbury nickel mining camp. "

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