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New Century Resources - Initiation Report

8 Videos - Jul 2017


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Summary - Initiation Report

New Century Resources (NCZ) recently acquired a 70% interest (option to acquire 100%) in the Century Zinc Mine in Queensland.  Existing infrastructure at site could allow for a quick restart in production via re-processing of a substantial tailings resource (71Mt at 2.73% Zn – 1.94Mt Zn).  We believe this could see production of more than 100,000t Zn metal per annum by 2018.

TSI Analysis - Valuation Analysis

This valuation only accounts for the tailings re-treatment project and does not account for the significant value we believe will eventuate from the hard rock deposits.  Key details of this analysis includes:

  • Key assumptions;
  • Throughput;
  • Zinc Price; and
  • Recoveries.

TSI Analysis - Zinc price & market – Investment Analysis

Over the past number of years a significant amount of global zinc production has come off line with limited new production taking its place.

This analysis examines examines the factors that we believe will drive the zinc price higher and examine the opportunities for investment.

TSI Analysis - Environmental Rehabilitation – Risk assessment

One of the key acquisition terms for the Century zinc operation, was that MMG, the previous owner and operator of the project, would stand behind the ongoing provision of bank guarantees for $193.7 million to meet the Century Project financial assurance bond until 31 December 2026.

We examine how New Century plans to reduce this liability over time and why MMG did not complete this exercise.

TSI Analysis - Processing Recoveries – Risk Assessment

At the time tailings are disposed of, there is usually little financial gain to the operator at that particular point in time to increase the recovery of the mineral.  However previous operations of the Century project were motivated by maximizing throughput which has left signficant zinc resources in the tailings.

Operations - Virtual Site Trip – Century Zinc Mine

Virtual site trip to the Century Zinc Mine.  Analysis includes:

  • Projects location;
  • Review of the existing infrastructure;
  • Proposed tailings re-treatment operation; and
  • Transport/export infrastructure.

Operations - Processing – Tailings

Discuss with management the required changes to the current processing facility for the re-processing of tailings.

Exploration and Development - Exploration

Review of the current hard rock resources and exploration potential at the Century operation.

All Videos for New Century Resources - Initiation Report

Summary

Initiation Report

New Century Resources (NCZ) recently acquired a 70% interest (option to acquire 100%) in the Century Zinc Mine in Queensland.  Existing infrastructure at site could allow for a quick restart in production via re-processing of a substantial tailings resource (71Mt at 2.73% Zn – 1.94Mt Zn).  We believe this could see production of more than 100,000t Zn metal per annum by 2018.

TSI Analysis

Valuation Analysis

This valuation only accounts for the tailings re-treatment project and does not account for the significant value we believe will eventuate from the hard rock deposits.  Key details of this analysis includes:

  • Key assumptions;
  • Throughput;
  • Zinc Price; and
  • Recoveries.

Zinc price & market – Investment Analysis

Over the past number of years a significant amount of global zinc production has come off line with limited new production taking its place.

This analysis examines examines the factors that we believe will drive the zinc price higher and examine the opportunities for investment.

Environmental Rehabilitation – Risk assessment

One of the key acquisition terms for the Century zinc operation, was that MMG, the previous owner and operator of the project, would stand behind the ongoing provision of bank guarantees for $193.7 million to meet the Century Project financial assurance bond until 31 December 2026.

We examine how New Century plans to reduce this liability over time and why MMG did not complete this exercise.

Processing Recoveries – Risk Assessment

At the time tailings are disposed of, there is usually little financial gain to the operator at that particular point in time to increase the recovery of the mineral.  However previous operations of the Century project were motivated by maximizing throughput which has left signficant zinc resources in the tailings.

Operations

Virtual Site Trip – Century Zinc Mine

Virtual site trip to the Century Zinc Mine.  Analysis includes:

  • Projects location;
  • Review of the existing infrastructure;
  • Proposed tailings re-treatment operation; and
  • Transport/export infrastructure.

Processing – Tailings

Discuss with management the required changes to the current processing facility for the re-processing of tailings.

Exploration and Development

Exploration

Review of the current hard rock resources and exploration potential at the Century operation.

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