A feasibility study at
Proven and probable reserves have been re-estimated at 53.1 million tonnes grading 0.214% tungsten, 8.34% fluorspar, 0.192% copper and 0.097% bismuth, plus 0.214 gram gold per tonne. The inferred resource stands at 27 million tonnes at similar grades.
SGS Lakefield Research estimates the total capital cost at US$211 million, including a US$23.7-million contingency.
A major portion of direct costs of US$143.8 million is tied to two large expenditures. The process plant is by far the largest, with an estimated cost of US$65 million (a bismuth-recovery circuit has been added). As well, US$25 million has been allocated for compensation and resettlement costs, which would take the form of payments to residents in the area.
Other, “indirect” costs would total US$43.4 million (temporary buildings, labour for construction, and so on).
Mineralization is hosted by a skarn, or greisen-mineralization, adjacent to a granitic intrusive complex, as well as by the granite itself.
Projected recoveries are 61% tungsten, 78% fluorspar, 29% bismuth, 87% copper and 13% gold.
Tiberon would mine 10,000 tonnes per day over 16 years. Total operating costs are pegged at US$7.92 per tonne. Assuming a debt-to-equity ratio of 75-to-25, the leveraged internal rate of return works out to 22.4%, and the payback period would be 4.8 years.
Tiberon has submitted an environmental impact assessment to the Appraisal Council of the Vietnamese government. A final feasibility study is due by mid-year.
Situated 80 km northwest of Hanoi, the Nui Phao property is held by Tiberon, with a 77.5% interest, and two Vietnamese companies, with a total of 22.5%.
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