Key points
- Forrestania's maiden Ore Reserve for the Tycho Deposit of 418kt at 1.10g/t Au for 14.7koz Au
- Estimated pre-tax undiscounted free cash flow of A$9.9 million at a gold price of A$5,500/oz
- Mining over 7 months, processing over 4 months, at an average AISC of A$3,849/oz
Full summary
Forrestania Resources Ltd has announced the Tycho Pre-Feasibility Study (PFS) and Ore Reserve, demonstrating a near-term, execution-ready gold production opportunity. The maiden Ore Reserve for the Tycho Deposit is estimated at 418kt at 1.10g/t Au for 14.7koz Au, fully underpinning the Production Target. The PFS estimates an eight-month project life, with production of approximately 13.0koz of recovered gold at an average AISC of A$3,849/oz. At a gold price of A$5,500/oz, the project is expected to generate pre-tax undiscounted free cash flow of approximately A$9.9 million. The project is substantially execution-ready, with key contracts in place for mining, road haulage, and the Edna May tailings storage facility lift.
Guidance
Estimated pre-tax undiscounted free cash flow of A$9.9 million at a gold price of A$5,500/oz over an eight-month project life
Outlook
Forrestania expects Tycho to become one of several deposits contributing ore to the Edna May hub, supporting the vision of establishing a scalable and sustainable regional gold business.