Europa Metals Ltd (LON:EUZ) closed out 2020 with A$2.9mln in cash.
During the year to December 2020 the company booked a net loss after tax of A$1.6mln.
The prime focus of the company during the period was continued work on its Toral zinc and base metals project in Spain.
“During 2020, a clear strategy was pursued to complete all the requisite work for a revised independent preliminary economic study to be commissioned, and its findings published,” said chairman Myles Campion.
“Such report, compiled by Bara Consulting and published on schedule in November 2020, encompassed an indicated resource for the first time, the results of a series of metallurgical test work programmes including an initial ore sorting analysis, geotechnical and hydrogeological studies. The report's findings were significant, with a substantial increase in run-of-mine tonnes to 700,000 tonnes per annum, with an all-in cost of US$63.56 per tonne and US$79mln upfront capex to production.”
The net present value was set at US$156mln at an 8% discount rate with a 31.3% IRR.
Further drilling is now underway at the Toral project to form the basis of a pre-feasibility study.
Campion added that corporately the company is actively involved in a number of initiatives that could potentially lead to a major value event for all Europa Metals shareholders.