Positive Duchess Paradise Project Pre-Feasibility Study Results
Highlights
Positive Pre-feasibility study outcome meets initial concepts
Initial operations of 2Mtpa from trench highwall mining generates:
o IRR of 34% at current coal prices and exchange rates
o NPV = $88 million at A$/US$: 90c and $161 million at A$/US$: 80c
Low capital costs of A$113 million
Production to commence in 2013
Rey has committed to Definitive Feasibility Study on the trench highwall
mining system
Additional conceptual studies of underground operations demonstrate
potential for good economics at production rates above 6Mtpa
Studies on the larger underground project are continuing
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