Star Gold Announces Positive Preliminary Economic Assessment for Longstreet Project
Star Gold Corp has released a preliminary economic assessment (PEA) showing strong financial potential for its Longstreet Gold-Silver Project in Nevada. The PEA, conducted by Kappes, Cassiday & Associates and others, outlines pre-tax net present values of $87 million at a 5% discount rate with an internal rate of return (IRR) of 48%, assuming gold prices of $3,600/oz and silver at $48/oz. Under higher commodity price assumptions ($4,000/oz Au and $60/oz Ag), the NPV rises to $122 million with a 63% IRR. The PEA envisions an open-pit heap-leach operation using portable crushing and diesel power, processing up to 5,500 tons per day. The mine plan is based on approximately 6.55 million tons of ore containing over 105,461 ounces of gold. Star Gold's CEO emphasized the potential for district-scale expansion beyond what was included in this PEA due to multiple undrilled targets across its land package. The company plans further drilling and resource expansion work as part of a broader program authorized by federal agencies. The results will support an updated mineral estimate, engineering studies, and environmental permitting toward production.
Tickers: $SRGZ
Topics: gold heap-leach_operation preliminary_economic_assessment silver