VANCOUVER, British Columbia, Nov. 14, 2017 (GLOBE NEWSWIRE) -- Trek Mining Inc. (TSX-V:TREK) (“Trek Mining” or “the Company”) is pleased to announce that it has received the final key permit required to construct its 100%-owned Aurizona Gold Mine (“Aurizona”) in Brazil. The License to Install permit, issued by the Maranhão State Environmental Agency (“SEMA”), allows the Company to complete the construction activities required to commence production at the mine, with the objective of pouring gold by year-end 2018.
“Receipt of the Aurizona License to Install permit is an important milestone for Trek Mining,” said Christian Milau, CEO of Trek Mining. “We now have the permits and the funding, after completion of the Equinox Gold merger, to construct the Aurizona Gold Mine and are on track to achieve production by the end of 2018. We look forward to transitioning from a developer to a gold producer and creating value for all of our stakeholders.”
About the Aurizona Gold Mine
The July 2017 feasibility study for Aurizona outlined the design of an open-pit gold mine producing on average approximately 136,000 ounces of gold per year, with an initial 6.5-year mine life and significant exploration upside, as demonstrated by recent drill results. Initial capital to fund construction and commissioning is estimated at a modest US$130.8 million due to the Company’s ability to leverage significant existing infrastructure in place at the brownfields mine site. Aurizona demonstrates strong returns in the current gold price environment, with an after-tax internal rate of return of 34% and an after-tax net present value using a 5% discount rate of US$197.1 million using a base case gold price of US$1,250 per ounce.
About Trek Mining Inc.
Trek Mining is a Canadian mining company with a portfolio of production, near-production and exploration-stage projects in North and South America. On October 25, 2017, Trek Mining announced the signing of a definitive agreement to combine its business with NewCastle Gold Ltd. (TSX:NCA) and Anfield Gold Corp. (TSX-V:ANF). The combined entity intends to operate under the name Equinox Gold Corp. (“Equinox Gold”) and expects to trade on the TSX Venture Exchange under the ticker symbol “EQX”. Led by Ross Beaty as Chairman, Equinox Gold will be a well-financed, multi-asset mining company with a near-term gold production and strong growth platform of copper and gold assets. Further information about the proposed business combination and Trek’s current portfolio of assets is available at www.trekmining.com.
