Engineering firm Ausenco is expected to deliver a preliminary economic assessment of the Los Reyes epithermal gold-silver project in Mexico by the end of September this year.
Toronto-listed Prime Mining Corp says it is targeting a “high return, high margin, low capital and long-life project at Los Reyes”, in Sinaloa. The company has completed more than 221,000m of drilling and spent over US$64 million exploring since acquiring it in 2019.
“We are excited to share that we are accelerating our work on a PEA for the Los Reyes project,” Prime CEO Scott Hicks said.
“This follows a recently completed, robust initial de-risking program of benchmarking capital and operating costs, assessing infrastructure and reviewing design parameters for both mining and processing with the Ausenco team.
“Our approach assumes a low capital, 5000 tonne-per-day mill fed by a combination of openpit and underground material and may include a higher throughput sensitivity scenario.”
Hicks said Ausenco had extensive experience with projects of similar scale in Mexico, including advancing Silvercrest’s Las Chispas project from technical studies through construction, leading the delivery of Discovery Silver’s Cordero feasibility study and Vizsla Silver’s Panuco PEA and providing process design expertise for GoGold’s Los Ricos feasibility study.
