Maverix Metals Inc. is pleased to provide an update on several assets in its gold-focused royalty and stream portfolio.
Dan O’Flaherty, CEO of Maverix, commented, “Recently, there have been several announcements related to assets where we hold a royalty interest, which bode well for our future organic growth. In particular, the planned expansion to double production at Beta Hunt and the results of a preliminary economic assessment at Koné highlight the potential to add significant revenue and attributable gold equivalent ounces for Maverix in the near-term, at no additional cost. Additionally, we are pleased to announce that our 2021 Asset Handbook is now available on our website and invite everyone to learn more about our diverse portfolio of royalties and streams.”
Beta Hunt (4.75% Gold Royalty and 1.5% Nickel NSR)
On June 28, 2021, Karora Resources Inc. (“Karora”) announced a three year organic production growth plan which includes a significant expansion of its Beta Hunt gold mine in Western Australia. The expansion includes adding a second decline and an expanded trucking fleet to increase mining throughput which is expected to approximately double the production capacity of the mine from the current rate of approximately 75,000 – 85,000 tonnes per month (tpm) to 160,000 – 170,000 tpm by the end of 2024. For reference, the Beta Hunt mine produced 66,479 ounces of gold in 2020. Further production upside potential includes the high-grade Larkin Zone, where an initial mineral resource is expected to be included in Karora’s 2021 mineral resource and reserve update, and the newly discovered high-grade 30C and 50C nickel troughs. In addition, drilling underground is active on four exploration targets – A Zone North, Western Flanks North, Fletcher and the 50C nickel trough, with all four targets representing potential extensions to existing mineral resources or known mineralization.
For more information, please refer to karoraresources.com and see the news release dated June 28, 2021.
Koné (2% NSR)
On May 25, 2021, Montage Gold Corp. (“Montage”) announced the results of a preliminary economic assessment (“PEA”) for its Koné gold project in Côte d’Ivoire. The PEA outlined an 11 million tonne per annum operation with average annual production of 205,000 ounces of gold per year over a 14.7 year mine life generating an after-tax net present value at a 5% discount rate of $652 million and a 31% IRR at a $1,600 per ounce gold price. Montage is currently moving forward with a feasibility study which they expect to deliver by the end of 2021. In addition, Montage is advancing permitting and project financing discussions in parallel with the feasibility study.
For more information, please refer to montagegoldcorp.com and see the news release dated May 25, 2021.
Enchi (2% NSR)
On June 8, 2021, Newcore Gold Ltd. (“Newcore”) announced an updated PEA for its Enchi gold project in Ghana. The PEA outlined an open pit, heap leach operation producing an average of approximately 90,000 ounces of gold per year over an 11 year mine life generating an after-tax net present value at a 5% discount rate of $212 million and a 42% IRR at a $1,650 per ounce gold price. Exploration and drilling activities continue as part of Newcore’s current 66,000 metre drill program, which includes testing a series of highly prospective targets directed at extending the existing mineral resources along strike and down dip and further drilling of advanced gold targets across the 216 square kilometre property.
Maverix owns a 2% NSR royalty on Enchi, of which 1% may be bought back for a cash payment of $3.5 million. For more information, please refer to newcoregold.com and see the news release dated June 8, 2021.
Silvertip (2.5% NSR)
On June 15, 2021, Coeur Mining, Inc. (“Coeur”) provided an exploration update on its Silvertip mine located in British Columbia. Through the first four months of 2021 Coeur drilled approximately 31,825 metres focusing on resource expansion, while also conducting infill drilling on select areas of the deposit focused on converting existing resources to reserves. Underground drilling has discovered a new mineralized zone called the Southern Silver Zone, located adjacent to and enveloping the historic 65 Zone manto mineralization. The grade and orientation of the Southern Silver Zone suggests an opportunity for bulk mining, which has the potential to lead to improved project economics. Coeur expects to make a decision on a potential expansion and restart of the mine towards the end of this year.
For more information, please refer to coeur.com and see the news release dated June 15, 2021.
2021 Asset Handbook
Maverix has published its 2021 Asset Handbook, which provides detailed information on the Company’s diverse portfolio of royalties and streams. The report is available on the Company’s website at maverixmetals.com.
Brendan Pidcock, P.Eng., is Vice President Technical Services for Maverix, and a qualified person under National Instrument 43-101 – Standards of Disclosure for Mineral Projects, has reviewed and approved the scientific and technical disclosure contained in this news release.
Maverix is a gold-focused royalty and streaming company with a globally diversified portfolio of over 100 assets. Maverix’s mission is to increase per share value by acquiring precious metals royalties and streams. Its shares trade on both the NYSE American and the TSX under the symbol “MMX”.