Amended Announcement - Updated Cobar Basin PFS
| Stock | Manuka Resources Ltd (MKR.ASX) |
|---|---|
| Release Time | 23 Mar 2026, 4:26 p.m. |
| Price Sensitive | Yes |
Manuka Provides Updated Cobar Basin PFS Highlighting Substantial Increase in Profit and NPV
- Project NPV8 of A$805 million and IRR of 1,092% based on US$95/oz silver, US$4,800/oz gold prices and AUD/USD of 0.7000
- 10-Year Mine Plan to produce 13.2 million ounces of silver and 35 thousand ounces of gold
- Near term production leveraging existing plant with low capex upgrades
Manuka Resources Limited (ASX: MKR; NZX: MKR) releases an amended announcement for its updated Cobar Basin Pre-Feasibility Study, highlighting a substantial increase in profit and net present value. The key highlights include a project NPV8 of A$805 million and IRR of 1,092% based on US$95/oz silver, US$4,800/oz gold prices and AUD/USD of 0.7000. The 10-Year Mine Plan is set to produce 13.2 million ounces of silver and 35 thousand ounces of gold from existing stockpiles and open pits located at the Wonawinta Silver Mine and Mt Boppy Gold Mine in the Cobar Basin. The company is leveraging its existing 1Mtpa processing plant, which is set to return to production in H1 2026, with low capex upgrades. The mine plan is forecast to generate an average EBITDA of A$127 million per annum at an average C1 cost of A$34.4/oz silver (including gold credits). The pre-production capital costs are estimated at A$26.6 million, and the company is in the final stages of securing a US$22.5 million debt facility to fully fund the project to production and profitability. Manuka remains fully unhedged, leaving it leveraged to further upside from movements in precious metals prices.
The 10-Year Mine Plan is forecast to generate an average EBITDA of A$127 million per annum at an average C1 cost of A$34.4/oz silver (including gold credits).
Manuka is uniquely positioned among junior ASX resource companies as one that is well set to translate historically high silver and gold prices into substantial near-term cash returns for the Company and its shareholders. With the existing 1Mtpa processing plant set to restart within the coming months, debt funding to support the modest capital costs nearing finalisation, and an initial 10-year production plan demonstrating outstanding economics, Manuka presents both as a compelling and significantly undervalued investment opportunity.