Mining in Sustainability CIBC World Markets plc to advise Maya Gold & Silver in relation to the funding of the Boumadine polymetallic project
PRESS RELEASE
Mining in Sustainability
CIBC World Markets plc to advise Maya Gold & Silver in
relation to the funding of the Boumadine polymetallic
project
MONTRÉAL , September 5, 2019 -- Maya Gold & Silver Inc. (“Maya” or the “Corporation”) (TSX: MYA) is pleased
to announce that the Corporation is considering fun ding alternatives with respect to the development o f its
Boumadine polymetallic project (“Boumadine” or “the Project”) in the Kingdom of Morocco (“Morocco”).
In connection with its review of funding alternativ es, Maya has engaged CIBC World Markets plc, a subs idiary of
Canadian Imperial Bank of Commerce (“CIBC”) , to act as its exclusive financial advisor. CIBC will provide the
Corporation with financial advice and assistance in connection with a range of funding alternatives fo r the
approximately US$89M required to develop Boumadine aiming to bring it into production.
Boumadine
The Boumadine polymetallic project is located in th e region of Drâa-Tafilalet in Morocco. The Project is owned by
Compagnie Minière Maya Maroc (“CMMM”), a joint vent ure owned by Maya (85%) and l'Office National des
Hydrocarbures et des Mines of the Kingdom of Morocc o (15%).
Maya announced the results of an independent NI 43- 101 Preliminary Economic Assessment Study (“PEA”)
related to its Boumadine polymetallic project on Ap ril 24, 2019. The PEA was prepared by GoldMinds
Geoservices Inc. of Québec City Canada (“GMG”) and it outlined the following highlights:
• A project life of 12 years with the current resour ces starting in 2021 up to 2033;
• Project Internal Rate of Return of 56% pre-taxes a nd 53% after-taxes;
• Project pre-tax Net Present Value of US$574.8M (di scounted at 6.5%) or US$665.9M (discounted at 5%)
at variable commodity prices;
• Project after-tax Net Present Value of US$497.6M ( discounted at 6.5%) or US$576.7M (discounted at 5%)
at variable commodity prices;
• The extraction of 7.59 Mt at 1.03% Pb, 3% Zn, 1.67 g/t Au, 101.76 g/t Ag and 5.4 g/t Ge where 29.4%
comes from measured & Indicated and 70.6% from Inferred mineral resources;
• Milling starting at 1500 tpd in June 2021 to incre ase to 2000 tpd in June 2023 up to June 2033;
• Total operating cost of US$101.72 per tonne (avera ged over the expected mine’s life);
• Capex and sustaining capital requirements of US$12 0.35M; of which ~US$89.1M is initial capex;
• The Boumadine PEA was prepared as an exclusive und erground extraction of mineralized material in
fresh rock with limited tonnage extraction by open pit. The reprocessing of old tailings is not includ ed in
the economic analysis. The 240 Kt resource buffer c ould be processed at the start-up or as safety if f or
any reason development is not supplying fresh mater ial on time. This could change with optimization of
extraction sequence and configuration in future review;
• Gold Equivalent calculation for economic analysis is: AuEq = ((Pb% x 2204USD/t x 60% rec)+(%Zn x
2900USD/t x 79.5% rec)+(Au g/t x 1321USD/Oz/ 31.103 x 97.2% rec)+(Ag g/t x 19USD/Oz/31.103 x
96.2%rec)+(Ge g/t x 2.2USD/g x 75% rec))/(1321 USD/ 31.103);
• The projected mine contemplates a 1500 tpd mining with processing at a flotation mill with associated
POx/CIL followed by an increase to 2000 tpd mining with the upgrades of the flotation mill.
Additional information:
• More technical details can be found in the technic al report available on SEDAR.
• The preliminary economic assessment is preliminary in nature as it includes inferred mineral resource s
that are considered too speculative geologically to have the economic considerations applied to them t hat
would enable them to be categorized as mineral rese rves, and there is no certainty that the preliminar y
economic assessment will be realized.
• Mineral resources that are not mineral reserves do not have demonstrated economic viability.
• The Corporation has elected to move this project f orward without a feasibility study completed.
Qualified Persons
The technical content of this news release has been reviewed by Claude Duplessis Eng., from GoldMinds
Geoservices Inc. independent Qualified Persons unde r NI 43-101 standards.
ABOUT CIBC
CIBC is a leading North American financial institut ion with 10 million personal banking, business, pub lic sector
and institutional clients. Across Personal and Smal l Business Banking, Commercial Banking and Wealth
Management, and Capital Markets businesses, CIBC of fers a full range of advice, solutions and services
through its leading digital banking network, and lo cations across Canada with offices in the United St ates and
around the world. Ongoing news releases and more in formation about CIBC can be found at
https://cibc.mediaroom.com/.
As a longstanding participant in the mining industr y, CIBC is recognized as a leader in providing fina ncing,
advisory and credit services to meet the clients’ multifaceted needs. CIBC has led many of the industr y’s largest
gold and base metals equity transactions and has ad vised on some of the largest industry defining merg er and
acquisition transactions.
ABOUT MAYA
Maya Gold & Silver Inc. is a publicly-traded Canadi an company focused on the operation, exploration an d
development of gold and silver deposits in Morocco. Maya is currently operating mining and milling ope rations at
its Zgounder Mine, an 85%-15% split ownership betwe en its subsidiary, ZMSM, and the ONHYM of the Kingd om
of Morocco. Its portfolio also contains the Boumadi ne polymetallic deposit located in the Anti-Atlas M ountains of
Eastern Morocco. The property is a joint venture with ONHYM whereby Maya retains an 85% ownership.
Maya’s portfolio also includes the Amizmiz and Azegour properties, both being 100% owned, with gold, t ungsten,
molybdenum and copper deposits covering over 100 sq uare kilometres in a historical mining district.
Forward-looking statements
This news release contains statements about future events or future performance and reflects managemen t’s
current expectations and assumptions. These are “fo rward-looking” because we have used what we know an d
expect today to make a statement about the future. Forward-looking statements usually include words su ch as
may, intend, plan, expect, anticipate, and believe or other similar words. We believe the expectations reflected in
these forward-looking statements are reasonable. Ho wever, actual events and results could be substanti ally
different because of the risks and uncertainties as sociated with our business or events that happen af ter the
date of this news release. You should not place und ue reliance on forward-looking statements. As a gen eral
policy, we do not update forward-looking statements except as required by securities laws and regulati ons. All of
the forward-looking statements made in this press r elease are qualified by these cautionary statements and by
those made in the Corporation’s filings with SEDAR.
On behalf of the Board:
Noureddine Mokaddem
Founder, Chairman & CEO
+1 (514) 866-2008 [email protected] www.mayagoldsilver.com