Perseus Mining's (ASX:PRU) Nyanzaga project valuation has been updated to reflect the latest information from the project's feasibility update, revealing higher capex, lower production, and higher operating costs than initially modelled, according to a Monday note by Euroz Hartleys.
The company plans to mine Nyanzaga as a large open pit, unlike the original plan of its previous owner, OreCorp, of a smaller open pit and underground mining, with a processing scale of six million tonnes per annum, up from the previous plan of four million tonnes per annum, Euroz Hartleys said.
The previous valuation was based on information from OreCorp's feasibility study released in 2022.
The project received a final investment decision, with Perseus Mining set to invest $523 million in development for targeted first gold in the first quarter of 2027.
Euroz Hartleys maintained Perseus Mining's buy rating and AU$3.95 price target.
The company's shares rose nearly 3% in afternoon trade Tuesday.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.