G2 Goldfields Inc. has released the Preliminary Economic Assessment for the Oko Gold Project in Guyana, showing a high-grade resource estimate of 1.6 Moz Au (Indicated) and 1.9 Moz Au (Inferred). The project boasts a 14-year LOM with annual production of 281,000 ounces at an AISC of $1,137/oz from years 2-11. Initial capex is $664 million, with an after-tax NPV of $2.6 billion at $3,000/oz Au. The project is located in a mining-friendly region with significant exploration potential.
The PEA outlines a 14-year LOM for the Oko Project, with a combined OP and UG operation. The updated Mineral Resource Estimate includes 1.6 million ounces of gold in the Indicated category and 1.9 million ounces in the Inferred category, with an average annual production of 281,000 ounces. The project will use a mix of conventional OP mining and mechanized UG mining. The PEA is based on drilling up to August 31, 2025, with a technical report to follow.
The Oko Project is located in the Cuyuni-Mazaruni Region of Guyana, easily accessible by road. Infrastructure required includes a 10,000 tpd process plant, offices, accommodation, water management facilities, and haulage roads. The updated Mineral Resource Estimate for the project includes 1.6 million ounces gold (Indicated) and 1.9 million ounces gold (Inferred) from five deposits. The project is expected to have a significant impact on the local economy and provide opportunities for growth in the mining sector. The Oko Project includes high-grade UG Indicated mineral resources of 741,600 ounces at 13.63 g/t Au and 522,100 ounces at 6.77 g/t Au. The New Oko Discovery, discovered in March 2025, lies approximately 8.5 km north of these deposits. The Mineral Resource Estimate includes data from 666 drill holes across 170,329 meters, prepared by Micon International Limited in accordance with NI 43-101 as of November 20, 2025. With a total inventory of 666 drill holes across 170,329 meters, the Oko Project’s Mineral Resource Estimate includes high-grade UG Indicated mineral resources of 741,600 ounces at 13.63 g/t Au and 522,100 ounces at 6.77 g/t Au. The New Oko Discovery, found in March 2025, is located about 8.5 km north of these deposits. The estimate was prepared by Micon International Limited in accordance with NI 43-101 as of November 20, 2025. The QP has not identified any current factors affecting MRE development. Mining at the project will include open pit and underground methods, with a 6-year LOM for OP mine and 14-year LOM for UG mine. Production rate averages 4,500 tpd over 14 years with a total strip ratio of 5.4:1.
The process plant design for Oko will treat gold material to produce doré, with a capacity of 3.6 Mt per year. Operating costs are estimated at $947 per ounce of gold produced, excluding royalties. LOM AISC is estimated at $1,191 per ounce based on average annual production of 228,000 ounces over 14 years.
Initial capital costs for the project are estimated at $664 million, with contingencies of $108 million. Sustaining capital costs are estimated at $366 million. Main components of initial capital costs include processing plant equipment, mining equipment, surface civil and infrastructure, and owner’s costs.
The Company plans to submit a preliminary mine design to the EPA to apply for an environmental permit for the Oko Project. Environmental baseline studies have been completed over the last two years. ESIA is expected to be filed in Q1 2026 for approval. A series of studies were conducted to guide effective project design, regulatory compliance, and environmental impact assessments for an upcoming project. The area is not a priority conservation site and does not overlap with protected or Indigenous lands. The company anticipates a 24-month period from ESIA submission to receiving an environmental permit.
During mine construction, a peak workforce of about 1,250 personnel is projected over 18 months, with an average of 800 employees once operational. Operations will run continuously with two 12-hour shifts per day, seven days a week. The company aims to maintain compliance with international environmental and social standards.
Drilling efforts are focused on extending high-grade mineralization beyond known resources, with visible gold mineralization indicating the potential for additional gold ounces. Various targets have been identified for near-mine growth opportunities to expand on the current resource base and explore new mineralized structures.
The PEA includes non-GAAP financial measures such as Operating Cash Costs, AISC, EBITDA, and Free Cash Flow, providing additional information to investors. The drilling database used for the mineral resource estimate was reviewed by Micon, with QA/QC measures in place for accurate results. The Technical Report will be filed within 45 days of the news release.
A Qualified Person is responsible for various aspects of the project, including metallurgy, geology, mining methods, economic analysis, and environmental considerations. Mineral resources have been estimated by a Qualified Person with over 35 years of experience in the industry. All scientific and technical information has been reviewed and approved by the CEO of the company, who is also a Qualified Person under NI 43-101. Micon International Limited, based in Toronto, specializes in geological, mining, and environmental consulting. Their clients include major mining companies and financial institutions worldwide. Their reports are recognized by regulatory agencies like the SEC and ASX.
G2 Goldfields Inc. focuses on finding and developing gold deposits in Guyana. Their recent Mineral Resource Estimate (MRE) by Micon International Limited revealed significant open pit and underground resources. The Oko district, where they operate, has shown potential for further exploration and development.
Forward-looking statements in G2 Goldfields’ news release discuss anticipated production, exploration upside, and financial performance. The company emphasizes caution due to the speculative nature of Inferred Mineral Resources. Investors are advised not to rely solely on these estimates for investment decisions.
G2 Goldfields also includes non-GAAP financial measures like total cash costs and EBITDA in their press release. These measures provide additional insight but should not be used alone for investment decisions. The company’s goal is to offer transparency and clarity in their financial reporting for investors. G2 Goldfields Inc. has released non-GAAP financial measures for their gold mining project, including total cash costs and all-in sustaining costs per ounce. These measures help investors understand the projected cost performance of the project. EBITDA and free cash flow are also important indicators of the project’s ability to generate liquidity. Sustaining capital expenditures reflect the costs needed to maintain production levels. Photos of the project are available in the announcement.
Read more at GlobeNewswire: G2 Goldfields Delivers Maiden PEA for the High-Grade Oko