| Pre-Feasibility Study for the Isabel Nickel Project | |
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Axiom Mining Limited
ARBN 119 698 770
Level 6, 15 Astor Terrace Spring Hill QLD 4000
Australia
T + 61 7 3319 4100
[email protected] www.axiom-mining.com
12 August 2016
ASX Announcement
Company Update - Pre-Feasibility Study highlights world class potential of the Isabel Nickel Project (San Jorge and Kolosori deposits)
Highlights
The combination of the above factors indicates that the Project's operations will be a low cost saprolite nickel producer able to provide a steady and reliable premium product to its customers.
Figure 1.2 Aerial view of the Isabel Nickel Project
4 DSO: Direct Shipping Ore
Basis for the Financial Evaluation
Table 1.1 provides the assumptions and calculations on which the financial evaluation is based upon.
Category
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Measurement
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Commencement Date
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2016
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Mining Rate (Years 1 to 5)
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10.07 WMT
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Life of Mine (LOM)
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18 years
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Average Stripping Ratio
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(0.83:1)
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Nickel Prices
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2016 to 2035*
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Total Pre-Capital Costs (Chart 1.2)
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$18.2m
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Total Operating costs - FOB (Chart 1.3)
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$11.49
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Mineral Royalty
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3%
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Discount Rate
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8%
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Tax Rate
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35%
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Net Present Value (NPV) (Base Case)
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$188m
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Internal Rate of Return (IRR)
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95%
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Net Margin (after tax and royalties)
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35%
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Payback on Capital Costs
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PFS Accuracy
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+ / - 25%
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Table 1.1 Financial Assumptions
*based on Wood Mackenzie forecast
All dollars reported in this document are US $ unless otherwise stated.
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Axiom Mining Limited
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EXPLORATION STAGE |
CODE : AVQ.AX |
ISIN : AU000000ASX7 |
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ProfileMarket IndicatorsVALUE : Projects & res.Press releasesAnnual reportRISK : Asset profileContact Cpy |
Axiom Mining is a silver and gold exploration company based in Australia. Its main exploration properties are OK MINE, MT MOLLOY, CARDROSS, PINEVALE and WHITE HILLS in Australia and PU SAM CAP, QUANG BINH and QUANG TRI in Vietnam. Axiom Mining is listed in Australia. Its market capitalisation is AU$ 8.7 millions as of today (US$ 6.7 millions, € 5.5 millions). Its stock quote reached its highest recent level on April 12, 2011 at AU$ 1.26, and its lowest recent point on May 24, 2019 at AU$ 0.02. Axiom Mining has 348 620 000 shares outstanding. |