Spanish Mountain Gold economic review continues

Spanish Mountain Gold confirmed Tuesday it will do another Preliminary Economic Assessment(PEA).

Spanish Mountain Gold confirmed Tuesday it will do another Preliminary Economic Assessment(PEA).

“It was due at the end of October but may run into either the first or second week of November before it’s completed,” SMG communications manager Chris Clancy said.

There were a few reasons behind issuing a second PEA, Clancy explained.

“Yes mining costs have increased significantly since 2010, however, so too has the project’s ounces. In 2010, 1.9m ounces were used for the PEA. Today our global resource stands closer to 7m.”

The increase should have a significant impact on the economics and life of mine, Clancy said.

At the Cariboo Regional  District board meeting Oct. 26, Area F director Joan Sorley told the board she’s been part of the Spanish Mountain Gold working group and was worried the decision by the company to reproduce its economic assessment might mean the prospects of the project are “not quite so promising.” Construction costs for the project have gone up 40 per cent, she added.

Clancy, however, said the company chose to reproduce a PEA because it would not have been able to achieve the amount of work necessary to produce a pre-feasibility study (PFS) in a timely fashion to the market.  “The PEA allows us to produce updated economics using our complete resource without causing any delay in the timeline.”

 

 

Just Posted

Memorial started at scene of fatal vehicle incident near Williams Lake on Highway 20

Bouquets of flowers have been laid at the scene, roughly 17 kilometres from Williams Lake

Kangaroos spoil Stamps home opener Saturday in lakecity

Quesnel scored with 15 seconds left to win 6-5

Showers, cool weather forecast for Cariboo over coming days

Heading into the work week Cariboo residents can expect cool, damp weather

FOREST INK: Paradigm shift needed in our economic theories

This theory is used by Negative Population Growth, Inc.

Greta Thunberg meets with First Nations chief in Fort McMurray

Thunberg has turned her protest against climate change into a global movement

Canucks hang on for 3-2 win over Rangers in New York

Vancouver scores three times in first period

More beef products recalled due to possible E. coli contamination

The food safety watchdog has been investigating possible E. coli 0157:H7

B.C. VIEWS: How to get the best deal on your ICBC car insurance

ICBC slowly being dragged into the 21st century

Pot legalization has gone ‘well’, but ‘yellow flags’ on vaping: task force chair

Canada legalized cannabis for non-medical use on Oct. 17, 2018,

ELECTION 2019: Federal leaders hit final 24 hours of campaign

Many leaders remain in B.C. for the final hours of the campaign

Most Read