PPX is operating the Callanquitas Mine (“Mina Callanquitas”) exploiting high grade, underground-minable oxidized gold and silver ore.  Based on the Company’s Pre-Feasibility Study (“PFS”), PPX expects the Callanquitas Mine to produce up to 26,000 AuEq* ounces per year over a seven-year mine life at cash cost of less than US$610/AuEq* ounce (the Igor PFS is available on the Company’s website and SEDAR). While PPX has not declared commercial production at Mina Callanquitas. Nonetheless, increasing metal prices and mine productivity, coupled with superior toll milling contracts, have all contributed to the increasing revenue derived from operations at Mina Callanquitas. Through Fiscal Q3 2021, Mina Callanquitas has produced over 133,000 tonnes of ore grading 9.40 gpt gold and 79.1 gpt silver from the Measured and Indicated Resource at Mina Callanquitas which is a portion of the project’s Mineral Reserves as defined in the Igor PFS.  The mine currently produces at a rate of approximately 140 tonnes/day with ore being processed at nearby toll milling facilities.

Based on the PFS prepared by Mine Development Associates (“MDA”) of Reno, Nevada in accordance with the requirements of Canadian National Instrument 43-101 “Standards of Disclosure for Mineral Projects” (NI 43-101) the Igor Project has:

  • Total Diluted Proven and Probable Reserves of 1,030,000 tonnes grading 4.10 gpt Au (136,000 ounces Au) and 104.08 gpt Ag (3,445,000 ounces Ag), or 154,000 AuEq ounces at a grade of 4.66 gpt AuEq.
  • Total Measured and Indicated Resources of 1,470,000 tonnes, grading 4.72 gpt Au (223,000 ounces Au) and 109.5 gpt Ag (5.18M ounces Ag) equal to 246,000 AuEq ounces (5.21 gpt AuEq). Inferred Resources totaled 613,000 tonnes, grading 3.91 gpt Au (77,0000 ounces Au), and 139.7 gpt Ag (2.75M ounces Ag) equal to 89,000 AuEq ounces. The reported Resources are inclusive of the Mineral Reserves.

*AuEq is calculated as follows: AuEq ounces = Au ounces + Ag ounces/75. Per PFS, inclusive of metallurgical recovery.