The Study contemplates a high lift, undercut block cave producing up to 25 million tonnes1,2 of crushed ore per annum at a very attractive rate of return. First production from PC1-2 is expected in FY26, with execution targeted for FY295 . The Early Works Program remains on track with key development activities and raise boring currently underway. Preliminary earthworks to support construction of the primary ventilation system are also in progress. Newcrest Managing Director and Chief Executive Officer,
We now expect to deliver additional gold and copper production over the next decade and beyond, which is an outstanding achievement by our team and a great example of our innovation and creativity in action.' 'We also have significant financial headroom to fund the construction of PC1-2 through our internal cash flow and prudent use of our strong balance sheet. This further underpins Cadia's ability to continue contributing to the community and we remain focused on pursuing further optimisations during the Execution Stage of the project,' said
Summary of Study Findings1,2,3,4
Substantial gold and copper production growth compared to the Pre-Feasibility Study (PFS) in a Tier 1 jurisdiction
16 year mine life from first production, at an average of 17Mt per annum
Total ore production of 280Mt producing 3.7Moz of gold and 670kt of copper
Average annual gold production of 231koz and copper production of 42kt from PC1-2
Attractive investment returns
Estimated total capital expenditure on a real basis of
Real, after-tax Internal Rate of Return (IRR) of 18%
Net Present Value (NPV) of
Average All-In Sustaining Cost (AISC) of
Enhanced footprint design and productivity compared to the PFS, including:
Adapting the well proven extraction level layout used at Cadia East to increase ore mined and significantly improve safety
Increasing gold and copper production with additional ore mined over the mine life
Optimising the materials handling system with two crushing stations north and south of the footprint to improve efficiency, utilisation and reduce production loss
Early works program funding of
Permitting
Cadia presently holds a major Project Approval for the
Forward Looking Statements
This document includes forward looking statements and forward looking information within the meaning of securities laws of applicable jurisdictions. Forward looking statements can generally be identified by the use of words such as 'may', 'will', 'expect', 'intend', 'plan', 'estimate', 'target', 'anticipate', 'believe', 'continue', 'objectives', 'outlook' and 'guidance', or other similar words and may include, without limitation, statements regarding estimated reserves and resources, internal rates of return, expansion, exploration and development activities and the specifications, targets, results, analyses, interpretations, benefits, costs and timing of them; certain plans, strategies, aspirations and objectives of management, anticipated production, sustainability initiatives, dates for projects, reports, studies or construction, expected costs, cash flow or production outputs and anticipated productive lives of projects and mines. The Company continues to distinguish between outlook and guidance. Guidance statements relate to the current financial year. Outlook statements relate to years subsequent to the current financial year. These forward looking statements involve known and unknown risks, uncertainties and other factors that may cause the Company's actual results, performance, and achievements to differ materially from any future results, performance or achievements, or industry results, expressed or implied by these forward looking statements. Relevant factors may include, but are not limited to, changes in commodity prices, foreign exchange fluctuations and general economic conditions, increased costs and demand for production inputs, the speculative nature of exploration and project development, including the risks of obtaining necessary licences and permits and diminishing quantities or grades of resources or reserves, political and social risks, changes to the regulatory framework within which the Company operates or may in the future operate, environmental conditions including extreme weather conditions, recruitment and retention of personnel, industrial relations issues and litigation. For further information as to the risks which may impact on the Company's results and performance, please see the risk factors discussed in the Operating and Financial Review included in the Appendix 4E and Financial Report for the year ended
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