Name of the Project
La India gold project.

Location
Nicaragua.

Project Owner/s
Condor Gold.

Project Description
Condor released a preliminary economic assessment (PEA) on the project in October 2021, which presented two scenarios for its development.

In Scenario A, the PEA envisages mining from four openpits – La India, America, Mestiza and Central Breccia Zone – that will target a plant feed rate of 1.225-million tonnes a year.

About 1.47-million ounces of gold are expected to be produced over a 12-year life-of-mine (LoM).

In Scenario B, mining is extended to include three underground operations at La India, America and Mestiza, where the processing rate is increased to 1.4-million tonnes a year.

This scenario will produce an average of 120 000 oz/y over an initial six years of production and 862 000 oz over a nine-year life-of-mine. 

Potential Job Creation
Not stated.

Net Present Value/Internal Rate of Return
Scenario A has an estimated post-tax net present value (NPV) , at a 5% discount rate, of $302-million and an internal rate of return (IRR) of 58%, with a payback of 12 months.

Scenario B has an estimated post-tax NPV, at a 5% discount rate, of $418-million, after deducting upfront capital expenditure (capex), and an IRR of 54%, with a payback of 12 months.

Capital Expenditure
Scenario A estimates capital investment of $160-million, including contingency, where the underground development is funded through cash flow.

Scenario B will require a capital investment of $153-million, including contingency.

Planned Start/End Date
Not stated.

Latest Developments
Condor Gold has received interest from parties to buy its assets, which include the La India openpit project; CEO Mark Child is confident a binding agreement will be reached.

The sales process, which started in November 2022, following a robust bankable feasibility study on La India, has entered the end of its first phase, with various parties having conducted site visits and others ongoing.

Condor has received three formal expressions of interest, including two nonbinding offers that are subject to further due diligence.

Further offers are expected as nine companies are under nondisclosure agreements.

Key Contracts, Suppliers and Consultants
SRK Consulting (PEA).

Contact Details for Project Information
Condor Gold, tel +44 20 7493 2784 or email information@condorgold.com.