G2 Goldfields Delivers Maiden PEA for the High-Grade Oko Gold Project

Core Insights - G2 Goldfields Inc. announced the key findings from its Preliminary Economic Assessment (PEA) for the Oko Gold Project in Guyana, highlighting its potential as a significant development project with attractive economics [2][3]. Overview - The PEA outlines a combined open pit and underground operation with a 14-year life of mine, estimating total production of 3.2 million ounces of gold at an average all-in sustaining cost (AISC) of $1,191 per ounce [4][9]. - The project includes 1.6 million ounces of gold in the Indicated category and 1.9 million ounces in the Inferred category, with an average annual production of 281,000 ounces from years 2 through 11 [4][9]. Financial Metrics - Initial capital expenditures are estimated at $664 million, with sustaining capital costs of $366 million over the life of the mine [6][34]. - The pre-tax net present value (NPV) at a 5% discount rate is projected at $3.471 billion, with an internal rate of return (IRR) of 46% [6][9]. - The after-tax NPV is estimated at $2.561 billion, with an IRR of 39% and a payback period of 2.6 years at a gold price of $3,000 per ounce [6][9]. Mining and Production - The open pit mine is expected to have a life of six years, while the underground mine will last for 14 years, with a total strip ratio of 5.4:1 [22][23]. - The average underground production rate is projected at 1,900 tonnes per day, with a total of 21.3 million tonnes of mineralized material expected to be mined at an average diluted gold grade of 3.9 g/t [24][22]. Processing and Recovery - The proposed process plant is designed to treat 3.6 million tonnes per year, utilizing a standard metallurgical flowsheet that includes comminution, gravity concentration, cyanide leach, and carbon-in-leach (CIL) processes [27][30]. - The overall gold recovery rate is estimated at 94% [29]. Environmental and Permitting - The company plans to submit its preliminary mine design to the Environmental Protection Agency (EPA) to apply for the environmental permit, with the Environmental Social Impact Assessment (ESIA) expected to be filed in Q1 2026 [38][39]. - The project area is not designated as a priority conservation site and does not overlap with protected or Indigenous lands [39]. Workforce - During construction, the workforce is projected to peak at approximately 1,250 personnel, with an average operational workforce of around 800 employees once the mine is in production [41].