Amex Exploration (TSXV: AMX) has unveiled an updated preliminary economic assessment (PEA) for its Perron Gold Project in Quebec, anchored by a significantly upgraded Mineral Resource Estimate (MRE) from May 2025. The PEA reflects a two-stage development approach: Phase 1 focuses on low-capex contract mining and toll milling, while Phase 2 brings an owner-operated processing plant online, accelerating cash flow while minimizing shareholder dilution.
Phase 1 envisions 1,000tpd of contracted operations over four years, delivering average annual production of 102,000oz of gold at an all-in sustaining cost (AISC) of US$1,165/oz. Initial capital expenditure is reduced to C$77.5M, net of pre-production revenues of C$68.6M.
Phase 2 expands to 2,000tpd over 13 years, with production of 93,000oz annually at a reduced AISC of US$1,027/oz. The PEA projects a life-of-mine (LOM) output of 1.66Moz of gold over 17.5 years, at an average diluted grade of 5.07g/t Au. Financial metrics are compelling, including a pre-tax NPV of C$1.885B, after-tax NPV of C$1.085B, and IRRs of 99.1% pre-tax and 70.1% after-tax, with payback periods of just 1.1 and 1.4 years, respectively.
CEO Victor Cantore highlighted that this staged strategy not only accelerates revenue but also maintains strong margins due to the project’s high grade and extensive infrastructure in the prolific Abitibi mining district. The updated PEA positions Perron as a highly economic, low-risk gold development opportunity with the capacity to generate significant free cash flow quickly.
For more information, visit www.amexexploration.com
To read more articles like this, please visit www.theassay.com/news
