Getchell Gold's Fondaway Canyon Project Shows Strong Economics in New PEA

Getchell Gold Corp. has filed a preliminary economic assessment (PEA) for its Fondaway Canyon gold project in Nevada, outlining strong project economics with an estimated $1 billion pre-tax net present value (NPV8%) and a 58.8% pre-tax internal rate of return (IRR).

The PEA contemplates an open pit mining operation using contract mining and processing 4.1 million tonnes per annum, or 12,000 tonnes per day. The mill feed will be trucked from the open pit in the Central Area, accounting for approximately 68% of the global mineral resource currently defined at Fondaway Canyon.

The PEA demonstrates strong margins, rapid payback, and significant free cash flow generation. At a base case gold price of $3,200 per ounce, the project outlines a highly robust open pit mining operation with an estimated pre-tax NPV8% of $1,004 million and after-tax NPV8% of $905 million.

The Fondaway Canyon project has significant growth potential, with the mineral resource remaining open along strike and at depth. The scope of the PEA was limited to the open pit mineral resource in the Central Area, which does not include the Main Pit's underground mineral resource or the open pit mineral resources outside of the Central Area.