Constantine Metal Resources (CVE:CEM) (OTCMKTS:CNSNF) has filed an NI 43-101-compliant preliminary economic assessment (PEA) on its Palmer project in Alaska, the company announced Thursday.
Palmer is a high-grade volcanogenic massive sulphide-sulphate (VMS) project in southeast Alaska.
The study, completed by the Constantine Mining joint venture - of which the firm owns 51% - assumed metal prices of US$1.22 per pound of zinc, US$2.82 per pound copper, US$16.3 per ounce silver, US$1,296 per ounce gold and US$220 per metric tonne of barite.
READ: Constantine Metal Resources gets going again on the ground at Palmer project
Dowa Metals & Mining Co owns 49% of the venture.
The estimated mine life is 11 years after two years of pre-production and the operating cost at US$54.2 per ton generates US$354 million in pre-tax net present value. The pre-tax internal rate of return was put at 24%.
"The PEA highlights released in early June represented a significant leap forward for Constantine and the Palmer project," said Constantine CEO Garfield MacVeigh.
"This report is the first that applies economic parameters to the project and indicates that Palmer can be a low capex, low operating cost, high margin underground mining operation with attractive environmental attributes."
Constantine is a mineral exploration company with a focus on North American exploration projects.
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