Silvercorp Delivers Robust PEA for Condor Gold Project in Ecuador

Core Viewpoint - Silvercorp Metals Inc. has released the results of its Preliminary Economic Assessment (PEA) for the Condor gold project in Ecuador, indicating strong economic potential based on the Mineral Resource Estimate prepared in accordance with NI 43101 standards [1][2]. Economic Results and Sensitivities - The PEA projects an after-tax net present value (NPV) of $522 million and an internal rate of return (IRR) of 29% at base case metal prices of $2,600/oz gold and $31/oz silver [5]. - At near spot metal prices of $4,300/oz gold and $60/oz silver, the after-tax NPV increases to $1,559 million with an IRR of 61% [5]. - The project has a mine life of 13 years, producing approximately 1,375 thousand ounces of payable gold and 5,266 thousand ounces of payable silver [5]. Production and Cost Estimates - The total mill feed is estimated at 21.34 million tonnes, with an annual processing rate of 1.8 million tonnes per annum [4]. - The average all-in sustaining cost (AISC) is projected at $1,258/oz net of by-product credits [5]. - Initial capital costs are estimated at $292 million, with a post-tax payback period of 3 years starting from commercial production [5][6]. Mineral Resource Estimate - The updated Mineral Resource estimate includes 10.15 million tonnes of indicated resources with an average grade of 2.30 g/t gold equivalent [26]. - Inferred resources total 30.10 million tonnes with an average grade of 2.49 g/t gold equivalent [26]. Next Steps - The company is advancing environmental permitting for underground development, with the environmental impact study approved and community consultations ongoing [29]. - Following the issuance of the environmental permit, the company plans to develop underground access tunnels to facilitate further exploration and resource upgrading [30]. Company Overview - Silvercorp is a Canadian mining company focused on producing silver, gold, lead, and zinc, with a strategy aimed at generating free cash flow and pursuing organic growth through exploration and acquisitions [33].