August 11, 2017 – Vancouver, British Columbia – Trek Mining Inc. (TSX-V: TREK) (“Trek Mining” or the “Company”) has filed a National Instrument 43-101 Technical Report regarding the feasibility study and mineral reserve estimate for its 100% owned Aurizona Gold Mine (“Aurizona”) located in northeastern Brazil, the results of which were announced on July 31, 2017.
The technical report is available for download on SEDAR at www.sedar.com and on Trek Mining’s website at www.trekmining.com.
About the Aurizona Gold Mine
The Aurizona feasibility study is based on a new mine plan and updated mineral reserve estimate and outlines the design of an open-pit gold mine producing on average approximately 136,000 ounces of gold per year, with an initial 6.5-year mine life and significant exploration upside, as demonstrated with recent drill results. Initial capital to fund construction and commissioning is estimated at US$130.8 million due to the Company’s ability to leverage significant existing infrastructure in place at the brownfields mine site. Life-of-mine sustaining capital is estimated at US$51.3 million, including closure costs. All-in-sustaining costs are estimated at US$754 per ounce over the life of mine, which is in the lowest quartile of the industry average. Aurizona demonstrates strong returns in the current gold price environment, with an after-tax internal rate of return of 34% and an after-tax net present value using a 5% discount rate of US$197.1 million using a base case gold price of US$1,250 per ounce. First gold pour at Aurizona is targeted for year-end 2018.
About Trek Mining Inc.
Trek Mining is a Canadian mining company with a portfolio of production, near-production and exploration-stage projects in North and South America. The Company is producing gold from its Koricancha Mill, a custom-built gold and silver ore processing facility in Peru, and expects to commence construction in the second half of 2017 at its past-producing Aurizona Gold Mine in Brazil with the objective of pouring gold at Aurizona by the end of 2018. Trek Mining’s exploration properties include both near-mine and district exploration opportunities at Aurizona; the Warintza porphyry copper-molybdenum exploration project in Southeastern Ecuador; the Ricardo porphyry copper-molybdenum exploration project in Chile; and Elk Gold, a past-producing high-grade gold mine in British Columbia, Canada. Further information about Trek Mining’s business strategy and portfolio of assets is available at www.trekmining.com or by email at ir@trekmining.com.
On Behalf of the Board of Trek Mining Inc.
“Christian Milau” CEO & Director |
