GoldMining releases PEA for Colombia project

GoldMining Inc. [GOLD-TSX, GLDG-NYSE American] has released the results of an updated preliminary economic assessment (PEA) for its La Mina project, which is located in Antioquia, Colombia.

The company said the updated PEA incorporates the recently discovered La Garrucha deposit into the mine plan, which was the subject of a maiden mineral resource estimate announced back in January, 2023.

The PEA envisages total life of mine (LOM) production of approximately 1.74 million gold equivalent (AuEq) ounces, averaging 143,000 ounces annually over an estimated 12-year life span.

That includes 1.29 million ounces of gold, 203.9 million pounds of copper and 2.98 million ounces of silver at recoveries of 91%, 80% and 64% respectively.

Initial capital expenditures are estimated at approximately $425 million for a 15,000 tonne-per-day processing facility fed by a conventional truck and loader open pit mining operation with sustaining capital and mine closure expenses pegged at $193 million.

The PEA predicts an all-in-sustaining cost of US$1,142 per ounce of gold (net of by-product credits).

On Monday, GoldMining shares eased 1.6% or $0.02 to $1.22 in light trading volume. The shares are currently trading in a 52-week range of $2.20 and $1.03.

The La Mina property consists of two concession contracts and two concession contract applications covering 3,210 hectares located in the Department of Antioquia, about 51 kilometres southwest of Medellin.

The company said the relatively low capital cost is the result of the project’s proximity to established infrastructure, including roads, power and available workforce.

Back in January, the company said its first exploration drilling program at La Mina has identified a significant discovery at the La Garrucha deposit that has added over 1.0 million AuEq ounces of estimated inferred resources and 200,000 AuEq ounces of indicated resources tp updated resource estimate for the project.

It said the estimate includes a maiden resource estimate for La Garrucha, which is located about one kilometre to the east of resources included in the previous estimate.

It said indicates resources now stand at 1.15 million ounces of AuEQ at 1.06 g/t AuEq, an increase of 16% in ounces and a 3.0% dip in grade from a 2022 estimate.

On top of that is an inferred resource of 1.45 million ounces of AuEq at 0.80 g/t AuEq, marking and increase of 215% in ounces and a decrease in grade of 24% from the previous estimate.

In January, the company said the La Mina project area consists of a data base of 111 drill holes or 40,179 metres, with 102 drill holes and 37,256 metres drilled within three deposits at La Cantera, La Garrucha and Middle Zone.

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