Name and Location
Gold Springs gold/silver project, Nevada and Utah, US.

Client
High Desert Gold Corporation, a subsidiary of TriMetals Mining.

Project Description
An updated preliminary economic assessment (PEA) of the Gold Springs project has shown a strong, low-strip, technically simple and scalable heap-leachable openpit project using a Merrill-Crowe gold/silver recovery process.

The updated PEA, compared with the PEA issued in 2014, has increased the production rate from 10 000 t/d to 15 000 t/d and assumes a finer crush to 3/8" for the Grey Eagle zone, but maintains the same 1" crush for the Jumbo zone.

Gold and silver recoveries have been lowered a few per cent in recognition of results from ongoing metallurgical testing. A recovery of 73% for gold and 40% for silver was used for Jumbo and 72% and 20% respectively for Grey Eagle.

The updated PEA envisages life-of-mine gold recovered at 428 408 oz of gold and 4.92-million ounces of silver, compared with 351 636 oz of gold and 4.38-million ounces of silver in the 2014 PEA.

Net Present Value/Internal Rate of Return
The project has a net present value (NPV), at a 5% discount rate, of $137.4-million and a pretax internal rate of return (IRR) of 49.9%.

The 2014 PEA estimated an NPV, at a 5% discount rate, of $162.5-million and an IRR of 57.5%.

Value
The updated PEA estimates total capital expenditure at $79.9-million tons, com-pared with $57.5-million for the 2014 PEA.

Duration
Not stated.

Latest Developments
TriMetals believes there continues to be substantial upside for the discovery of additional gold and silver mineralisation since the Jumbo and Grey Eagle resource blocks remain open to expansion.

These two resource areas represent just two of 26 outcropping gold targets identified on the property to date.

There are also numerous buried geophysical targets that have yet to be explored. Importantly, the project is scalable, allowing it to be redesigned to an optimal openpit for the deposit in the context of a potential expanded resource.

Key Contracts and Suppliers
None stated.

On Budget and on Time?
Not stated.

Contact Details for Project Information
TriMetals Mining, tel +1 303 584 0606, fax +1 303 758 2063.