The preliminary economic assessment (PEA) for the Kiena project shows that a restart of the mining complex in Val d’Or, Quebec, is viable in a “very short-term horizon”.
The study, released by TSX-listed Wesdome Gold on Wednesday, pointed to an aftertax internal rate of return of 102% and an aftertax net present value, at a 5% discount, of C$416-million.
Preproduction capital is estimated at C$35-million and the project has a payback period of 1.7 years.