Cavalier shares jump on ‘significantly improved’ Crawford PFS
Exploration and development company Cavalier Resources on Tuesday announced “exceptionally increased” prefeasibility study (PFS) results for its Crawford gold project, near Leonora, sending the firm’s stock surging 23.5%.
While the physical pit design and ore reserve remain unchanged for the updated PFS, the study incorporates a higher gold price of A$4 600/oz and updated mining and heap leach capital cost estimates.
The revised PFS returned a net present value, using an 8% discount, of A$51.7-million, an internal rate of return of 580% and a capital payback period of nine months within the total 18-month Stage 1 project life.
During the A$9-million Stage 1 operation, Crawford will deliver 23 467 oz at an all-in sustaining cost of A$1 574/oz.
“This revised PFS update reflects a significantly improved financial outlook for Stage 1 and further underscores the outstanding overall potential of the greater Crawford gold project,” said executive technical director and CEO Daniel Tuffin.
The company recently announced the signing of a non-binding term sheet for $11-million with precious metals streaming fund Raptor Capital International to advance the Stage 1 pit into production.
Tuffin reported that the funding due diligence process continued to advance, with Raptor representatives due to visit the site in early April, while also progressing with the procurement of the necessary equipment for the Stage 1 oxide heap leach.
“The combination of robust project economics, a record gold price, and continued project advancement, positions Stage 1 at the Crawford gold project for even greater returns and increased development potential to build on for extension of further mining operations onsite. I look forward to providing further updates as we progress toward production,” said Tuffin.
Cavalier’s stock traded at A$0.21 a share on Tuesday.
Comments
Press Office
Announcements
What's On
Subscribe to improve your user experience...
Option 1 (equivalent of R125 a month):
Receive a weekly copy of Creamer Media's Engineering News & Mining Weekly magazine
(print copy for those in South Africa and e-magazine for those outside of South Africa)
Receive daily email newsletters
Access to full search results
Access archive of magazine back copies
Access to Projects in Progress
Access to ONE Research Report of your choice in PDF format
Option 2 (equivalent of R375 a month):
All benefits from Option 1
PLUS
Access to Creamer Media's Research Channel Africa for ALL Research Reports, in PDF format, on various industrial and mining sectors
including Electricity; Water; Energy Transition; Hydrogen; Roads, Rail and Ports; Coal; Gold; Platinum; Battery Metals; etc.
Already a subscriber?
Forgotten your password?
Receive weekly copy of Creamer Media's Engineering News & Mining Weekly magazine (print copy for those in South Africa and e-magazine for those outside of South Africa)
➕
Recieve daily email newsletters
➕
Access to full search results
➕
Access archive of magazine back copies
➕
Access to Projects in Progress
➕
Access to ONE Research Report of your choice in PDF format
RESEARCH CHANNEL AFRICA
R4500 (equivalent of R375 a month)
SUBSCRIBEAll benefits from Option 1
➕
Access to Creamer Media's Research Channel Africa for ALL Research Reports on various industrial and mining sectors, in PDF format, including on:
Electricity
➕
Water
➕
Energy Transition
➕
Hydrogen
➕
Roads, Rail and Ports
➕
Coal
➕
Gold
➕
Platinum
➕
Battery Metals
➕
etc.
Receive all benefits from Option 1 or Option 2 delivered to numerous people at your company
➕
Multiple User names and Passwords for simultaneous log-ins
➕
Intranet integration access to all in your organisation