“We are delighted with the robust PEA results on the oxide portion of the Diba Hill gold deposit,” says Steven Poulton, CE of Altus Strategies.

The PEA envisages a simple low-cost and low-strip ratio open-pit gold mine, using standard heap-leach processing to generate a pre-tax valuation of US$115 million, yielding an IRR of 728%.

“While the preliminary economics are compelling, we believe Diba has considerable growth potential. We now intend to systematically drill test the seven priority targets we have discovered within 7 km of the Diba hill deposit.

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“We will also undertake metallurgical test work to determine if the sulphide material, which is not modelled in the current PEA and which represents approximately 50% of the current mineral resource, is amenable to conventional CIL processing.

“We believe we have only scratched the surface on Diba’s potential to generate substantial value for our shareholders and look forward to providing updates in due course.”


  • Positive PEA for an open-pit oxide gold mine with strong cashflow and rapid payback
  • Project economics applying a 10% discount rate and US$1,500/oz gold price:
  • Pre-tax NPV of US$115 million, IRR of 728% and payback of 6.2 months
  • After-tax NPV of US$81 million, IRR of 469% and payback of 6.9 months
  • Project economics applying a 5% discount rate and US$1,800/oz gold price:
  • Pre-tax NPV of US$167 million
  • After-tax NPV of US$118 million
  • Average production of 52,000oz per year with 3.25 year mine life and low strip ratio of 1:1.37
  • Significant growth potential for Diba project:
  • Seven further significant oxide gold targets to be systemically drill tested
  • Metallurgical study to test potential for sulphide ores to be processed via CIL
  • Diba is contiguous with the Sadiola mining permit at the heart of a world renowned belt

Read more about the Diba project