Member Info for Cornishknocker

Hannam and partners did a very detailed note

In the metric world, we use g/metric tonne and prices in metric tonnes and troy oz for precious metals. If something is tonnes its metric unless its short, where its abbreviated to st not t. So the conversion from $/lb to $/tonne is 2240 not 2000.

It's come up time and time again - "I'm not investing, there's too many shares", ultimately it makes little difference, we will have less shares, but now worth 60p each.

Its got to be £250 million to me.

We have approximately 50% of this years production hedged at 3.495 ($7700/t). Since the hedge the price has been rising to $10,000 (as a result we are effectively getting $8900 per tonne) currently and looking to continue. If we get to $12,000 per tonne this year, we will be receiving $9950 per tonne - we will be selling more in the 2nd half than the first half of the year, so my estimate is pricing in higher prices - I could be wrong.

We will more than likely hedge again, as its a risk management strategy, if we hedged today, I think we would be looking at a hedge price of $9500.

If anyones interested, these are my predicted revenue figures for the next 2 years: - https://twitter.com/Angoose_/status/1387767501921136645?s=19

When you work out the potential profits from 2026, with Goldmans predicted copper price and the efficiency savings, they are astronomical, we are looking at in the region of $200 million profit per year and even if the copper price tanked to $5000, we'd still be looking at $30 million profit - those figures are just ming mine

Hi Fuku, no its not in addition to.

One of our problems us the distance of nugget pond from ming mine, it adds approx $13 per tonne of ore to our mining cost (about 20% of the mining costs).

The ore sorting will reduce this as the mine can mine and sort 1800tpd while only paying to transport 1350tpd (mill capacity).

Duck pond mill as a capacity of 2200tpd, which will support a mining rate of 2800tpd with the ore sorting.

At that point Nugget pond will become redundant, although I expect there will be studies into relocating it to Little deer/whalesback.

easily

Yes I do, obviously the further ahead we go the more uncertainty over it, but I'm projecting a total revenue for the year of $125.6 Million US - so probably a $65 Million Profit.

I've been working through the figures, these are my projections for 2021: -

Ore Mined - 1100tpd (390500 Tonnes)
Head Grade - 1.8%Cu
Concentrate produced - 24174T

Copper Produced - 6436T
Gold Produced - 4822 Troy Oz

Total Revenue - $63.3 Million US.
Reported Profit - $15 Million US.

I'm guessing we will be having a new website soon to go with the rebranding.

I'm not going to say too much about what this means, I don't need to - my advice to everyone is read the full annual report, its incredibly positive reading, just set yourself about 3/4 of an hour for it, its bloody brilliant!

Ouch I bet he's annoyed!

Tony Bradbury, I doubt can believe his luck. He's taken on a fully built mine, with most of the staff laid off,as a result once he sorted the financing, he's been able to restructure the mine to his own design, without the normal industrial relations ramifications.

And as others have said, its not new, its going to depend on how investors had priced it in before.

Re the financial they are far better than I expected they did a good job at cutting costs last year.

I think it may put a downward pressure on the price for a couple of days, to level out the market cap, but ultimately if tge warrants are exercised (I'm sure they will be as its ultimately free money for the warrant holders), it will boost the companies balance sheet further

Jammer it is perfectly normal for mines to hedge a proportion of their production. Tge current hedge price was pretty much at the copper market value when tge hedge occurred- which is unusual, its normally at a 10-20% discount. Yes tge price has risen consistently since then, but in tge current market any new hedge could be assumed to be at close to the current price - a hedge is a positive not a negative.

A goose, if you want to work it out very quickly, at our target production of 1350tpd@2% Cu with 95% Mill recovery, we will produce 25.5t of copper per day, call its 2200lb to the tonne its 25.5 x 5 x 2200 = $280,550 per day, the mine produces 355 days per year so that's $100 million per year revenue or $60 million profit (our current market cap)

https://www.cornwalllive.com/news/cornwall-news/united-downs-tin-copper-drilling-5334622