Technical Report On Feasibility Study For Grassy Mountain Gold Project

WINNEMUCCA, NV - Paramount Gold Nevada Corp. has filed the National Instrument 43-101 Technical Report on Feasibility Study (FS)for its 100% owned Grassy Mountain Gold Project in eastern Oregon. Highlights are as follows: Simple Carbon-in-Leach process yielding average gold and silver recoveries of 92.8% and 73.5 % respectively; Average mill head grade of approximately 6.5 g/T gold plus 9.6 g/T silver; P&P reserves of 390,000 ozs of gold and total M&I resources of 1,060,000 ounces of gold; Initial 8-year mine life; Annual production of 47,000 ounces of gold and 55,000 ounces of silver; Initial CapEx of $97.5M includes $10.1M of estimated contingencies, $25.6M of sustaining CapEx and $6.3M closure costs for a 750 tpd mine and milling operation; Life of mine cash costs of $5841 and AISC of $6722 per ounce of gold; After-tax IRR of 26.0% and NPV5% of $105M which increases significantly to 40.9% and $195M at $1,900 gold; and After-tax payback of 3.1 years.

President and COO, Glen Van Treek, said, “With the completion of the Feasibility Study our efforts at Grassy are now focused on completing the permitting process to make this highly profitable mine a reality.”