A recent scoping study put a net present value (NPV) on the Castilla y León project of US$110mln
- Europa Metals Limited is developing a silver, lead and zinc deposit at Toral in Spain.
- A recent scoping study put a net present value (NPV) on the Castilla y León project of US$110mln using a discount rate of 8%.
- At 0.02p, the company is valued at just over £2.2mln.
How is it doing
Toral numbers
The scoping study projected an internal rate of return (IRR) or 24.4% with total capital expenditure put at US$110mln.
Plans in 2019 include an infill drilling campaign; completion of the first metallurgical test work programme; commencement of environmental studies and hydrogeological characterisation.
The study was based on a previous JORC compliant resource estimate comprising 16 million tonnes in the Inferred category, equating to 640,000 tonnes of zinc, 510,000 tonnes of lead and 13 million ounces of silver.
Raised £960,000 in March to fund resource definition drilling.
What the boss says: Laurence Read
“Toral is demonstrating itself to be a highly robust lead, zinc and silver project located in a first world jurisdiction.”
“Fundraising allows Europa Metals to move its Toral project forward, with the planned commencement of a diamond drilling campaign into the high-grade core of Toral.
“The programme will allow the company to increase its understanding of the high-grade lead, zinc and silver content at the centre of Toral in addition to obtaining fresh metallurgical samples which could then be used for pre-marketing of the Toral concentrate.”
Inflexion points
Resource definition drilling to identify characteristics of metals in the concentrate
Drilling later in the year in high-grade areas alongside metallurgical work to upgrade resource to indicated status
Currently, mapping and re-logging core
Changes to regulations governing the use of land for mining in north-west Spain’s Castilla y Leon region can give a boost to Toral
Recently shifted primary listing to AIM from ASX to reflect focus on Europe and where shareholders are largely based. Europa still has listing on Johannesburg’s AltX market.
Source: proactiveinvestors.co.uk
