DENARIUS METALS ANNOUNCES POSITIVE PEA RESULTS FOR ITS 100%-OWNED ZANCUDO PROJECT IN COLOMBIA

Core Viewpoint - Denarius Metals Corp. announced positive results from a Preliminary Economic Assessment (PEA) for its 100%-owned Zancudo Project in Colombia, indicating strong economic potential and ongoing production capabilities [1][2]. Economic Assessment Summary - The PEA estimates an 11-year mine life, projecting total revenue of approximately $2.0 billion and pre-tax gross profit of about $723 million from the sale of 466,000 payable ounces of gold and 2.2 million payable ounces of silver [2][3]. - The average all-in sustaining cost (AISC) is projected at $2,482 per ounce of gold, based on a long-term gold price of $4,000 per ounce [3][5]. - The project has an after-tax internal rate of return (IRR) of 558% and a payback period of one year [3][5]. Mineral Resource Estimate - The updated Mineral Resource Estimate (MRE) includes 1.0 million tonnes grading 6.9 g/t gold and 84 g/t silver in the Indicated Resources category, and 4.6 million tonnes grading 5.6 g/t gold and 84 g/t silver in the Inferred Resources category [3][27]. - Total expected production over the mine life is approximately 3.3 million tonnes, yielding 619,000 gold ounces and 7.2 million silver ounces [4][5]. Capital and Operating Costs - Remaining initial capital costs are estimated at $11.0 million, with an additional $16.0 million for sustaining capital, including a 15,000 meters exploration drilling program [5][8]. - Total operating costs and royalties over the life of the mine are projected at $1,249.1 million, with cash costs per ounce of gold estimated at $2,448 [5][18]. Processing and Mining Operations - The project includes a 1,000 tonnes per day processing plant, which is expected to produce high-grade gold-silver concentrates under a long-term offtake agreement with Trafigura [13][34]. - Mining will utilize existing workings and new developments, employing methods such as long hole open stoping and cut and fill [12][18]. Future Plans - The company plans to commence a 15,000 meters drilling program in early April 2026 to explore further expansion of the Zancudo deposit [2][3]. - Civil works for the processing plant are set to begin in the second quarter of 2026, with commissioning expected in the third quarter [15][16].