Cadence Minerals (AIM/AQX: KDNC; OTC: KDNCY) is pleased to note that
The updated project economics, based on a Definitive Feasibility Study (DFS) completed by Hastings in 2017 and revised in late 2021, follows an extensive and comprehensive review period, extending over three years, which has sought to de-risk project execution, optimise the flowsheet and enhance project economics.
Highlights
Post-tax
Post-tax Internal Rate of Return ('IRR') of 26%.
Life of Mine pre-tax Free Operating Cashflow increases by 71% to
Revised capital cost estimated at
Project is 'shovel-ready' following a comprehensive review and assessment of current inflationary pressures present in
Capital payback period forecast at 2.7 years from commencement of production.
Production of 3,400tpa of NdPr Oxides capable of supplying up to 8% of forecast global NdPr demand.
Discussions on funding options with suitable partners continue to progress.
20 million early works program to deliver the core site infrastructure at Yangibana is well underway
Key to this process was validating the capex required to bring Yangibana into operation considering the current inflationary environment and tightening labour market in
Following this review period, the management team now have a high degree of confidence in the quantum of capital required and are proceeding to finalise funding arrangements for Yangibana ahead of proposed commencement of plant construction activities forecast to commence in H2 2022. The
Contact:
Tel: (0) 7879 584153
Forward-Looking Statements
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