Nighthawk Gold’s Maiden PEA: C$1.2 Billion NPV5% and 35% IRR after-taxes at US$1,600/oz Gold

26 April 2023

TORONTO, Ontario, April26,2023–Nighthawk Gold Corp. (“Nighthawk”, “NHK”, or the “Company”) (TSX: NHK; OTCQX: MIMZF) is pleased to report its maiden PEA1for the Colomac Gold Project, located 200 kilometres (“km”) north of Yellowknife, NWT, Canada. Please refer to Tables 1 and 2 for a summary of the Project PEA economics and Conceptual LOM plan, respectively.

Highlights:

Results of the preliminary economic assessment1(“PEA”) for the Colomac Gold Project (the “Project”) suggest the potential for a C$1.2 billionafter-tax net present value @ 5% discount rate (“NPV5%”) and 35% after-tax internal rate of return (“IRR”) @ US$1,600/ ounce (“oz”) gold(“Au”)price(Base Case assumption)
C$2.0billionafter-tax NPV5%and56%after-tax IRR @ US$2,000/ozAu (Upside Case)
Estimated average annual potential gold production of 290,000oz over an 11.2-year mine life (“LOM”), with peak production of 340,000oz(Year 2)
Estimated Initial capital expenditures (“Capex”) of C$654million(“M”), resulting in NAV5%/Initial Capex Ratio of 1.8:1
Estimated LOM all in sustaining costs2(“AISC”) of US$828/oz
60% of the project infrastructure powered by renewable sources of energy (wind and solar); carbon intensity of 0.48t CO2e/oz Au produced(0.18tand 0.30tCO2e/oz Au for fixed plants and mining,respectively)
PotentialNorth American large-scale gold projectlocated in the mining-friendly Northwest Territories (“NWT”), Canadawith the immense upsideforadditional mineral resource expansionand improved economics
100%-owned 930 km2District Scale Propertyemerging as Canada’s next“Greenstone Gold Camp”
The PEAis preliminary in natureandincludes inferred mineral resources that are considered too speculative geologically to have theeconomic considerations applied to them that would enable them to be categorized as mineral reserves, and there is no certainty that the PEAwill be realized

See full release for tables and more.

View Details