Daquan Property
The Daquan Property is situated in Shangnan County, southeast Shaanxi Province, China, about 200 kilometers southeast of Xi’an, the provincial capital, and about 40 kilometers south of the county capital of Shangnan. The Property contains a sedimentary rock unit that is enriched in vanadium at levels of concentration that are of potential economic significance.
Exploration to date:
- 1,000m sampling completed and 555 samples collected
- 40 trenches at 100m intervals along 3,000m strike length
- 12 drill holes (3,620m) tested mineralization 700m below adits
- 6 adits at 200m intervals over 1,700m strike extent
- Indicated resource of 15.8Mt at an average grade of 0.95% V2O5
- Inferred resource of 18.4Mt at an average grade of 0.92% V2O5
- Superior quality ore with insignificant uranium and chromium
Preliminary Economic Assessment
(NI 43-101 Compliant) |
|
Open Pit and Underground |
| Life of Mine |
Years |
20 |
| Mill Recovery |
% |
75 |
| Payable Metal (V2O5) |
000 lbs |
506,837 |
| V2O5 Sale Price Assumption* |
C$/lb |
8.83 |
| Initial Capital Cost |
C$ 000 |
263,280 |
| Initial Capital $/lb V2O5 |
C$/lb |
0.52 |
| Net Present Value (10% discount) |
C$ 000 |
878,318 |
| Internal Rate of Return |
% |
52.3 |
| Payback Period |
Years |
2.38 |
| Total Operating Cost (lbs V2O5 sold) |
C$/lb |
3.47 |
