Landore Resources Limited Releases Technical Report and Preliminary Economic Assessment of the BAM Gold Project

Landore Resources Canada Inc released its technical and preliminary economic assessment report for its BAM Gold Project,  at their Junior Lake Property, 235 km northeast of Thunder Bay, Ontario.  

 

The Mineral Resource Estimate of the BAM Gold Project at a 0.3g/t cutoff is: 28,826,000 tonnes (t) at 1.03 grams/tonne (g/t) for 951,000 ounces of gold (ozAu) including 20,198,000t at 1.08g/t for 701,000 ounces gold in the Indicated Category.

 

The BAM project Base case considers the economics of exploiting a resource of 12.7 Mt at 1.26 g/t Au containing 515,000 ounces gold (koz Au). An Extended (or upside) case considers a 19.7 Mt resource also at 1.26 g/t Au containing 800 koz.

 

The Base case generates a post-tax net present value ("NPV") of US$69.2M with an internal rates of return "(IRR") of 22.4%. The Extended case generates a post-tax NPV5 of US$123.7M and post-tax real IRR of 26.9%.

 

The Base case has an all-in-sustaining cost ("AISC") of US$ 806/oz with the Extended case being slightly higher at US$ 816/oz. Initial CAPEX is US$73.53M for Plant and infrastructure plus US$ 20.28M for pre-production including mining and G+A.

 

Based on exploration work completed by Landore up to January 2019, there is significant resource potential that clearly indicates follow up district scale exploration programs are warranted. There is potential for other gold mineralization targets along the 31 km strike length of the Junior Lake Shear.

 

Commenting on this report, Chief Executive Officer of Landore Resources, Bill Humphries, said:

"We are very pleased with the results of the PEA which clearly demonstrates the robust nature and growth potential of the BAM Gold Project. We are confident that, with the conversion of the 'unclassified mineralisation' into resource together with infilling and extending the existing deposits, the Project has a high probability of being advanced from the Base case 515,000 ounces gold to the Extended case 800,000 ounces gold with significant further upside."

 

The reports were compiled by Cube Consulting Pty Ltd and are in compliance with   the requirements of the Canadian National Instruments 43-101 Standards of Disclosure for Mineral Projects ("NI 43-101").

 

The full Technical Report and Preliminary Economic Assessment can be found on Landore's web site www.landore.com