The Woodlark Scoping Study confirmed the technical and financial merits of the Company’s 100% owned 1.6 Moz Woodlark Gold Project in PNG, which is forecast to generate strong operating margins and significant free cash flow from a long-life operation.
Key Scoping Study Metrics
| LOM Financial Metrics | A$M | A$/oz Au | US$/oz Au |
|---|---|---|---|
| Project Revenue (incl. silver credits) | 3,312 | 2,908 | 1,948 |
| Transport and Refining | 11 | 9 | 6 |
| Mining Costs (ex. sustaining capital) | 623 | 547 | 367 |
| Processing Costs (inc. processing G&A) | 706 | 620 | 416 |
| General and Administration | 233 | 205 | 137 |
| Sustaining Capital | 58 | 51 | 34 |
| Corporate Costs | 42 | 37 | 25 |
| Royalties (at 2.5%) | 83 | 72 | 49 |
| Silver credit | -10 | -8 | -6 |
| Project AISC | 1,747 | 1,534 | 1,028 |
| Capital | A$M | US$M |
|---|---|---|
| Pre-production | 326 | 218 |
| Sustaining | 58 | 39 |
| LOM captial | 384 | 257 |
| Project Returns (unleveraged and pre-tax unless stated otherwise) | Unit | A$ | US$ |
|---|---|---|---|
| Free cashflow | $M | 1,272 | 852 |
| NPV8% | $M | 625 | 419 |
| IRR | % | 40.5% | |
| Payback period | Years | 1.5 | |
| Capital intensity | $/oz | 286 | 192 |
| NPV8% (post-tax) | $M | 501 | 336 |
| IRR (post-tax) | % | 37.7% | |
| NPV/Pre-production capital | ratio | 1.9 : 1 | |