RE: To top slice or not to top slice, to me there is no question31 May 2020 21:09
TtB. Suddenly the reason for the H&P initiation report makes sense. H&P specifically mention the cost to GGP of sharing the mining of Hav with NCM:
“We estimate a total capital cost for Havieron of US$158mln with US$34ln to be borne by Greatland, less than 10% of Greatland’s market cap. We believe this makes the Company a unique investment proposition versus peers due to its low capital cost requirements for such significant and high-margin production with low funding risk. In addition, having a high-quality partner like Newcrest constructing and operating Havieron significantly reduces execution risk, in our view, versus a scenario in which a junior has control of the project.”