COMMERCE 1AA3 Lecture Notes - Lecture 10: Slideshare, Net Present Value
13 Oct 2017
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Document Summary
Pretium"s current production should exceed 13. 1g/t, yet it has been 4. 660g/t so far. According to the latest feasibility study ( led june 30, 2014), pretium should have a stockpile of 81kt of material grading 13. 6g/t gold. The feasibility study anticipated that this stockpile would be processed in years. 2 and 3 of the mine"s production phase while higher grade material would be processed rst. This is because conventional mine engineering calls for maximizing the net present value of the project by mining and processing the most pro table ores rst (where possible). So, current production should exceed the stockpile head grades of 13. 6g/t. If we assume recoveries of 96. 6% on 13. 6g/t gold, then we would expect a hypothetical 81kt stockpile of 13. 6g/t gold to yield 13. 1g/t. Production results so far indicate grades of 4. 660g/tfor june and july (after processing losses), well below the 13. 1g/t level.
