Newcore Gold reports positive updated economic assessment for Enchi gold project in Ghana

Newcore Gold Ltd. has announced positive results from an updated Preliminary Economic Assessment (PEA) for its 100%-owned Enchi Gold Project in Ghana. The study, led by Lycopodium Minerals Canada Limited, outlines the project as a low-capital open-pit, heap leach operation with an average annual gold production of approximately 120,000 ounces.

The PEA indicates an after-tax Net Present Value (NPV5%) of $371 million and an after-tax Internal Rate of Return (IRR) of 58% at a gold price of $1,850/oz. Initial capital costs are estimated at $106 million, with a short after-tax payback period of 1.6 years.

The project's economics are supported by its technically straightforward design, a low strip ratio, and efficient heap leach processing. The assessment incorporates significant development work, including an expanded 2023 Mineral Resource Estimate and extensive metallurgical testing.

Newcore Gold President and CEO Luke Alexander highlighted the PEA as a notable milestone toward a construction decision. He stated the company will continue to advance the project towards production while also exploring the extensive exploration potential at Enchi. The company believes the project's economic potential will grow with future discoveries.