Management continues to under-promise and over deliver, exceeding initial assumptions on plant yields by up to 11% over the life-of-mine, it said.

“We have revised our production profile, now reaching a ceiling of 2 million tonnes per annum at a strip ratio of 4.8:1 and increased our mine life by approximately six years,” CANACCORD Genuity said.

“The company remains funded to complete the PFS and both phases of drilling at Dunlevy over the remainder of 2014.”

The modelled mining inventory for the PFS is to be based solely on measured and indicated resources and excludes all inferred resources.

“This is a positive and provides additional confidence in the PFS numbers,” CANACCORD Genuity said.

“We have assumed 76Mt in open pit reserves and increased our mine life by 40% to 20 years, to be more in-line with the PFS.”