The ASX and LSE miner announced an IRR of 113% and an annual EBITDA of US$251 million over the first five years of the project's 14-year mine life.
Revenue from the polymetallic project, which consists of two main deposits - Rupice and Veovaca - will come mainly from silver and zinc. The company said revenue would be split 31% silver, 25% zinc 14% gold, 14% lead and the rest from copper and barium sulphate.
Adriatic's price assumptions are on the high side, including silver at US$24/oz and gold at US$1,900/oz.
"Despite COVID-19 hampering efforts of mining companies around the globe, I am pleased that we are able to deliver a hugely positive PFS, with improved economics in comparison to our 2019 scoping study, thus showing that Vares is indeed a world class project," said Adriatic managing director Paul Cronin.