Summary of Aya Gold & Silver Boumadine PEA Results Webinar Company Overview - **Company**: Aya Gold & Silver (OTCPK:AYAS.F) - **Project**: Boumadine Key Industry Insights - **Industry**: Mining, specifically gold and silver production - **Market Context**: The presentation discusses the economic viability of the Boumadine project, emphasizing its potential in the current market environment for precious metals. Core Points and Arguments 1. **PEA Results**: The Preliminary Economic Assessment (PEA) for Boumadine is presented as a significant milestone after three years of work, indicating a low initial capital expenditure (CapEx) of **$446 million** [3][27]. 2. **Production Estimates**: The project anticipates a production of **400,000 ounces of gold equivalent** annually over the first five years, translating to **37.5 million ounces of silver equivalent** [5][23]. 3. **Net Present Value (NPV)**: The NPV of the project is estimated at **$2.2 billion** pre-tax and **$1.5 billion** post-tax, with a capital utilization ratio of **5.1** pre-tax and **3.1** post-tax [5][6]. 4. **Internal Rate of Return (IRR)**: The IRR is projected at **69%** pre-tax and **47%** post-tax, with a payback period of **1.3 years** pre-tax and **2.1 years** post-tax [6][7]. 5. **Spot Price Sensitivity**: At current spot prices, the NPV could rise to between **$3-4 billion**, with an IRR approaching **100%** pre-tax [6][7]. 6. **Revenue Projections**: The life of mine revenue is projected at nearly **$10 billion**, with an EBITDA of **$6.2 billion** and free cash flow of **$5.6 billion** pre-tax [7][31]. 7. **Resource Estimate**: The mineral resource estimate includes **35 million tons** of mineralized material at a head grade of **4.5 grams per ton** of gold equivalent, totaling approximately **5 million ounces** of gold equivalent [16][17]. 8. **Mining Methodology**: The project will utilize both open pit and underground mining methods, with a focus on flexibility and cost efficiency [12][18]. 9. **Metallurgical Recovery Rates**: The project boasts high recovery rates of **96% for gold and silver**, and **75% for zinc** [21][36]. 10. **Environmental and Social Considerations**: An environmental and social impact assessment is underway, which will continue alongside the feasibility study [34]. Additional Important Insights 1. **Contractual and Financial Position**: The company has secured financing and has a mining license in hand, which mitigates risks related to project delays [9][10]. 2. **Exploration Potential**: The Boumadine project has significant exploration upside, with ongoing drilling campaigns expected to enhance resource estimates [37][46]. 3. **Market Interest**: There is strong market interest in the concentrates produced, with potential off-takers already identified [24][50]. 4. **Operational Costs**: The total cash cost is projected at **$119 per ton**, with an all-in sustaining cost (AISC) of **$1,021 per ounce of gold equivalent** produced [28][30]. 5. **Future Plans**: The company plans to advance the feasibility study and exploration concurrently, with a focus on resource expansion and classification [33][34]. This summary encapsulates the critical aspects of the Boumadine PEA results, highlighting the project's economic viability, production potential, and strategic positioning within the mining industry.