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- A bankable feasibility study (BFS) undertaken by EQ Resources (EQR) delivers low capital expenditure and “strong” early cash flow for its Mt Carbine expansion project
- Located near Cairns, the project reportedly has development potential with the 12-year BFS analysing the possibility of its open pit ore being processed in years three and four
- Additionally, the BFS suggests an operational pre-tax cash flow of $38 and $95 million dollars respectively for years three and four
- The company is planning to expand the overall mineral estimate through additional drilling starting in early 2022
- Shares are unchanged, trading at 6.9 cents 1.02 pm AEDT
A bankable feasibility study (BFS) undertaken by EQ Resources (EQR) delivers low capital expenditure and “strong” early cash flow for its Mt Carbine expansion project.
The 12-year BFS focused on an open pit development at the company’s Andy White prospect. Additionally, the study was supplemented with the processing of the 12 million tonne low-grade stockpile in a joint venture with Cronimet.
The BFS looked at production from the open pit being processed in years three and four with an operational pre-tax cash flow of $38 and $95 million respectively.
According to EQ, the Open Pit BFS utilises approximately 15.5 per cent of the Mt Carbine In-Situ mineral resource covered in the production forecast and provides significant underground potential.
The company says its project comprises the low-cost expansion of existing crushing, screening and XRT sorting operations, as well as further expanding the existing processing plant.
The company is planning to expand the overall mineral resource estimate through additional drilling starting in early 2022.
Shares are unchanged, trading at 6.9 cents 1.02 pm AEDT.
