Rupert Resources reports preliminary economic assessment for Ikkari outlining after-tax NPV of US$1.6B

November 28, 2022 – Rupert Resources Ltd (“Rupert” or the “Company”) is pleased to announce results from its Preliminary Economic Assessment (“PEA” or “study”) for the Company’s 100% owned Rupert Lapland Project, (“the Project”) including our flagship Ikkari gold discovery and Pahtavaara mine and mill located in Northern Finland.

{All figures are in US$ unless otherwise noted}

PEA Highlights:

  • High-confidence, de-risked resource: Flagship Ikkari deposit’s updated Mineral Resource Estimate  upgrades 84%  of ounces to the Indicated resource category, and defines a cohesive deposit with broad intervals of consistent high-grade gold.
  • Phased mine plan optimizing near-term cash flow: Open-pit operation at Ikkari in first 11 years, transitioning to Ikkari underground (years 10-23) and Pahtavaara concentrate (years 12 to 24).
  • Robust returns and fast-track to payback:  After-tax Net Present Value (“NPV”) (5% discount) of $1.6 billion with unlevered Internal Rate of Return (“IRR”) of 46% and payback after only two years, assuming a gold price of $1,650 per troy ounce (“oz”).
  • Long life: 22-year life of mine (“LOM”) includes recovered gold of 4.25 million ounces with average annual production of 200,000 ounces. Open pit operation is expected to support average annual production of 220,000 ounces in years one to 11.
  • High margin production profile: Expected lowest quartile all-in sustaining cost (“AISC”) of $759/oz over LOM, and $596/oz during open-pit operation. Low sensitivity to cut-off grade and low initial strip ratio.

James Withall, CEO of Rupert Resources, commented:

“This PEA study indicates exceptionally high-margin and meaningful returns on a robust project. The results are a testament to both the quality of the asset and our technical team. In only three years, we’ve gone from discovery hole to a preliminary study outlining an after-tax NPV of $1.6 billion, anchored by Ikkari. What excites us is that we still have room to grow at Ikkari and other satellite targets that we will be drill testing this winter. We have a real opportunity to not only advance Ikkari as outlined in our PEA, but systematically develop a cornerstone asset in a significant new gold camp over time.”

Full release including images and tables