(NewsDirect)
Erdene Resource Development Corp CEO Peter Akerley joined Steve Darling from Proactive to provide an update on the progress at its Bayan Khundii Gold Project during an interview with Steve Darling from Proactive.
Akerley highlighted that the past year has been transformative for Erdene, marked by significant achievements such as the establishment of a Strategic Alliance with Mongolian Mining Corporation, the leading publicly traded mining company in Mongolia. Additionally, construction has commenced at the Bayan Khundii gold project, and exploration efforts across the Khundii Minerals District have yielded continued success.
Akerley emphasized that the Bayan Khundii gold mine represents one of the highest-grade open-pit gold mines under development globally and is poised to become Mongolia's largest primary gold producer upon reaching full production. With early works completed, project finance secured, and long-lead orders arriving on-site, Erdene remains on track to produce first gold at Bayan Khundii in the second quarter of 2025.
Furthermore, Akerley shared key findings from the Bayan Khundii NI 43-101 Feasibility Study Update, which outlined a robust economic case for the project. The study reported a base case after-tax NPV5% of US$170 million and an internal rate of return (IRR) of 35%, increasing to US$223 million and 42%, respectively, at a gold price of US$2,000/oz. Total recovered gold is estimated at 476,000 ounces, representing a 25% increase compared to the 2020 feasibility study, with an average gold recovery rate of 93%. The all-in sustaining cost is projected at US$869 per ounce, with upfront capital costs of US$88 million plus a 12% contingency and pre-production costs of US$2 million. These findings underscore the project's strong economics and its potential to deliver significant value to stakeholders.
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Proactive North America
Proactive North America
+1 604-688-8158
NA-editorial@proactiveinvestors.com
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