RRL 9.69% $1.73 regis resources limited

I found an older announcement from September 2017...

  1. 293 Posts.
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    I found an older announcement from September 2017

    http://www.regisresources.com.au/reports-2/asx-announcements?download=268

    McPhillamys Gold Project - Pre-Feasibility Study
    Regis has undertaken studies to a pre-feasibility level into the development of the McPhillamys Gold Project (MGP) in New South Wales. The study assesses the MGP to an appropriate level to support the estimation of a JORC compliant maiden Ore Reserve and to enable the Regis Board to determine the viability of the project so as to commit to workstreams required to complete a Definitive Feasibility Study (DFS) in the December 2017 quarter.

    == Life of Mine (LOM) Summary
    —>Key life of mine physical results from the study, at a processing throughput of 7Mtpa, are summarised below:

    Mining
    ++ Waste volume (BCM millions). = 91.6
    ++ Ore volume (BCM millions). = 21.3
    ++ Volume total (BCM millions) = 112.9
    ++ W:O Strip Ratio = 4.29

    Milling
    ++ Dry Tonnes Per Hour = 841
    ++ Plant Availability = 95.0%
    ++ Ore Milled (Tonnes millions) = 60.1
    ++ Milled Grade (g/t) = 1.05
    ++ Recovery = 85.0%
    ++ Ounces Recovered = 1,728,264
    ++ Mine life (years) = 9

    The capital cost estimate has been developed for the design and construction of a 7.0Mtpa open cut mine and gold processing facility using all new equipment. The MGP capital cost is estimated at $215 million as summarised below.

    If the 215 Million Aud is correct the question is how could Regis finance this? They have actually 208 Mio Aud Cash.

    Background:
     The MGP is wholly owned by Regis and is located approximately 250 kilometres west of Sydney in the Central West region of New South Wales.

     In 2017 Regis announced a maiden Ore Reserve Estimate at MGP of 60.1 million tonnes at 1.05g/t Au for 2,034,000 ounces of gold.

     Pre-feasibility level studies in 2017 show the MGP is a robust, large scale open pit gold mine with a planned 7 million tonne per annum mining and processing operation producing an average of 192,000 ounces per annum over a ten year mine life.
 
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