Perron Gold Project Delivers Strong Economics

MONTREAL – Amex Exploration Inc. reported on the Preliminary Economic Assessment (PEA) for its Perron gold project, located near the towns of Normétal and Valcanton in the province of Quebec, Canada. The Perron PEA has been updated to incorporate the latest Mineral Resource Estimate and a new project development strategy.
Staged production strategy derisk the project, simplifies the permitting process, accelerates time to revenue (targeting 2028) and minimizes shareholder dilution, with Phase 2 mine construction financed from free cash flow.
Phase 1: 1) 4-year 1,000 tpd contract mining, toll-milling operation in the Abitibi region, where numerous processing plants are in operation. 2) Low initial capital cost estimate of $146.1M which is partially offset from pre-production revenues of $68.6M for a net Initial CAPEX of $77.5M. 3) Average annual gold production of 102,000 oz gold (Au) at an All in Sustaining Cost “AISC) of US$1,165/oz Au. 4) Average diluted head grade of 10.07 grams per tonne (gpt) for 0.41 million oz Au.
Phase 2: 1) 13-year 2,000 tpd owner operated mine with on-site processing facility. 2) Growth capital of $191.6M. 3) Average annual production of 93,000 oz Au at an AISC of US$1,027/oz Au. 4) Average diluted head grade of 4.32 gpt for 1.25 million oz Au.
Life of Mine (LOM) of 17.5 years with average annual production of 95,000 oz Au, or 1.66 million oz Au over LOM, including an average per year of 112,000 oz for the first 10 years.
Victor Cantore, President and Chief Executive Officer, said, “This PEA is based on our latest Mineral Resource Estimate and reflects our new vision for developing the Perron Project. Our staged approach to production and construction is both fiscally and technically prudent, minimizing permitting and technical risk, reducing upfront capital and enabling early cash flow.”
Cantore continued, “The economics of this project are incredibly strong and with gold prices at record highs, quick time to production allows us to capitalize on current market conditions. Our cost structure is one of the lowest globally and reflects the benefits of having a project with high grade, easily mined gold ounces that is surrounded by infrastructure and mining expertise.”