- Adriatic Metals (ADT) completes the Definitive Feasibility Study (DFS) for the Vares Silver Project in Bosnia and Herzegovina
- The DFS improves the economics from the pre-fesability study in 2020, with 48 per cent of revenues from payable silver and gold
- Completing this DFS paves the way for Adriatic to be the first publicly listed mining company in Bosnia and Herzegovina
- Adriatic will now finalise project financing and commence construction
- ADT is up 4.18 per cent at $2.74 per share at 10:40 AEST
Adriatic Metals (ADT) has completed the Definitive Feasibility Study (DFS) for the Vares Silver Project in Bosnia and Herzegovina.
The DFS improves the economics from the 2020 pre-feasability study (PFS), with 48 per cent of revenues from payable silver and gold.
The study puts post-tax net present value at US$1.06 billion (around A$1.47 billion) and the post-tax internal rate of return (IRR) at 134 per cent, which is up on the 2020 PFS’s 113 per cent.
Completing this DFS paves the way for Adriatic to be the first publicly listed mining company in Bosnia and Herzegovina.
Managing Director and CEO Paul Cronin said completing the DFS was a major milestone for the company and showed the potential of Vares.
“During the formulation of this study, we have significantly expanded our
relationships with key suppliers in BiH and the region, as well as completing an organisational blueprint for human resource development and training, both of which are key requirements for our economic sustainability objectives,” he said.
“In the design of this project, environmental and economic sustainability have been at the core of our thinking, shaping the project to ensure that its economic and environmental benefits extend well beyond the current mine life, and provide a perpetual benefit to our local community in Vares and indeed, to the BiH economy.”
Adriatic will now finalise project financing, which is well advanced, and commence construction.
“Additionally, we have commenced a study to expand the renewable energy production we have at the Vares Processing Plant, and augment that capacity, to ensure that the Vares Silver Project reduces its carbon emissions significantly, soon after the commencement of commercial production,” Mr Cronin said.
ADT was up 4.18 per cent at $2.74 per share at 10:40 AEST.