Member Info for Bamps21

Ggp jv tenement Paterson 8 very close to Chicken Shack

Interesting stuff by Saltpetie on hotcopper

https://hotcopper.com.au/threads/parklands.7898917/page-3?get_post=true

This road goes straight through Antipa’s Parklands

Great news

This is for the haulage road to Telfer L45/582 and L45/636 plus an HDPE water pipeline and a high voltage transmission line.

Also includes works for the paste plant and aan additional evaporation pond if it is required

Telfer is sat in amongst a lot of mining leases.

Does Ggp want these other mining leases?

We’re not likely to know for sometime.

Newmont have an issue in that the rehabilitation bond/ levy remains with the original tenement holder. This is a contractual arrangement and if a new buyer comes along a new agreement contract has to be signed and the old one cancelled.

If there’s no takers for these tenements then Newmont are still obliged to reinstate the land to a safe natural state.

They may have to pay someone to take it off their hands or do a good deal on the plant.

For rehabilitation and levy for abandoned mines

https://www.ggpchat.co.uk/viewtopic.php?p=5403#p5403

If gold pays for everything then copper revenues are all profit!

With everyone concentrating on the gold price the copper price has been sneaking upwards.

It’s very significant.

Havieron copper forecasted production average has a grade of 0.6%.

Copper price $4.08/lb (US)

For 100%

Production 3mt pa @0.6% =18,000t or 39.6mlbs

@ 4.08 = $161.5m pa

Copper record high $4.88 =$193.25m pa

0.8% grade = $216.25m @$4.08

0.8% grade =$258.6m @$4.88

1% grade = $269m pa @ $4.08

1% grade = $322m pa @ 4.88

It’s risen slightly higher since I’ve done those calcs to $4.1125

Initial production grades could be a lot higher

Just read Hopefullygold’s comments

https://www.ggpchat.co.uk/viewtopic.php?p=5397#p5397

They’re in for a shock then 🙂

Latest images

Looks wet everywhere

https://www.ggpchat.co.uk/viewtopic.php?t=777

You are quite right, knuckles wrapped should have said flora and fauna as it has to be safe for plants and animals 🙂

The reinstatement process at Telfer is not an operation that starts after the mine closes so putting a figure on it is very difficult.

Everyone knows there’s a processing plant and eventually dismantled but will have a sell value. Not many will realise the heap dumps are massive at Telfer.

https://www.epa.wa.gov.au/sites/default/files/Referral_Documentation/A1445_R1059_Telfer%20ARI%20Report-main_0.pdf

There’s 2 of these so I may have got the wrong one 🙂

In 2002 the heap dumps contained 125m tonnes whereas the ore going through the plant was 35mt.

This has grown since, there is a cut off grade where weak ore is sent to the leach pad or heap dump.

If it’s gold ore it will have cyanide solution filtered through it to obtain an acid with gold in it. Over time this cyanide dissipates to acceptable levels, when this is achieved the dump is seeded with native fauna but the testing is still monitored overtime.

Same for the copper dumps.

This still happening with Telfers weak ores which are getting weaker.

Tailings ponds 1 to 6 would have been seeded but are now going to be used for paste fill to Havieron. This seeding back in 2002 was still being trialled to see if it will work.

Monitoring of waste dumps and tailings will continue for many years after the miners have gone but government agencies may take on that roll from monies left in bonds.

Last few years they’ve been drilling all over the place but found nothing of significance.

The Newcrest geo chap did a presentation I think last year not certain but he said they were reevaluating what they learned from Havieron to go back over their data. I’m not sure how that progressed but they were certainly drilling down by Ironclad which is very close to Pascalle and Westin.

There’s targets all around I should think some will be surrendered.

The deep sensing magnetic survey I presume is what he was referring to. This was the tool they used on Havieron which later confirmed the deep magnetic anomaly. It also found the deep magnetic anomaly under the London target, so should be very beneficial back at Goliath and I believe they have used it at the 2 Tabletop targets.

Hi Barna

I think they are bundled up into the new EPA revision sent for approval last November.

This covers Telfer and Havieron. I would imagine extensions will be granted. I’m not sure though whether there’s any portions that will have to be surrendered

The $1500 AISC I took to be a generalisation to make the calcs easier .

Telfers AISC is unlikely to fall below $2000 the only credits to bring it down are at O’Callaghan mine

Hi Speedy

You will have to ask the company that one.

Pre the plan in the MMRE i think Ggp share was around $90m but when the stoping plan came out at PFS stage I think our share went to $127m

This was to include all infrastructure on surface and the development decline. That’s what confused me as the stoping is in the production phase so whether that figure takes us down to the first production level I’m unsure.

The total capex was around $450m but that includes the stoping costs, without stoping it was around $300m. There must be still $200m to get to production but that’s a guesstimate .

Newcrest accounts somewhere showed a figure for total spend including the drilling so far.

( I’m not sure whether it’s US$ or Aus $ without looking)

Also not sure whether that included drilling and FS funding

Fortescue have licences surrounding Telfer with a joint venture with Carawine so would fit with a Ggp buy of Telfer.

To me IGO are the dark horse they have jv all over the place and have an undrawn debt fascility of A$720m. Struggling a bit with weak nickel prices at the moment.

Hi Rotherby

Yes that seems cheap but these big companies will let smaller companies grow and then they come back and buy it with shares after letting the smaller guys do all the work. Rio will do the same.

Most of the Capex cost is behind us but still a bit to go.

500+m of Decline to the base of the cover and aquifer , plus the ventilation drive following it.

A vent hole from the surface to the Western front + fan unit

About 500m Decline from top of ore to first stoping level

500m of drives and stope tunnels for production

Air raise and return from Western front to surface.

Once production starts capex will be no issue as forward work all paid for by revenues

“Today’s result “ where’s this sprung from.

Duster that’s a bad tone of phrase.

Scallywag cannot be quoted as a duster they’re looking for the source of the proximal anomalies.

The latest drill holes and surveys are pointing at deeper targets under the London anomaly , they’ve been testing the shallower anomalies/ conductors knocking them off one by one.

This is a very measured and economically minded campaign on a large licence.

What could Telfer valuation be:-

Newmont want $3.05 of synergies and sells

$500m from Lihir and Cadia

$500 other synergies and bulk caving skill sets , probably Newcrest patent on caving

$2bn of sells

https://www.ggpchat.co.uk/viewtopic.php?t=722

Post on 21st May 2023 shows the NPV “bubbles” of each of the combined assets.

There are 6 mines and 2 projects

Telfer has 12% of the total NPV , Havieron is not mentioned so presuming that figure is combined.

This works out at $240m

That was nearly 12 months ago Telfer value is falling.

I can’t see the value being much more as the rest of the mines value would decrease if Telfers increases distorting their NPV values.

NCM also might not be able to achieve or might get more.

$240m looks like a great value for both , I would have thought that to be a minimum.

Who knows what’s going to happen 🤷‍♂️