RE: Proposal to separate the price of Nickel Sulfate with class 2 Nickel?10 Apr 2021 09:15
Blue. If there were to be a vote as to whether you or RL must cease posting , you would not stand a chance. This is a forum for intelligent debate and RL has been a valuable contributor for many years.
Hopefully will be confirmation that the Plan of Development and Exploitation Area have been agreed and the Licence Application finally submitted to the Minister of Mining and Heavy Industry. So I wonder whether he will simply rubber stamp it or raise queries and how long this process will take. For once could this be dealt with expeditiously or are we faced with further long delays ? Difficult not to fear the latter which probably explains the turgid sp but I for one do feel we will get there at some point in the next say 2 to 3 months
I struggle with it all as well.I assume that the starting point was a decision to raise $25m. Surely just one placing would have been easier than raising part by the warrants .Are we to conclude that $25m by placing was not achievable or is there some advantage to us, perhaps increased profile raising in Canada ,in going down the warrants route as well?
In the absence of any comments and in attempt to answer my own question I carried out a little research which revealed that typically copper concentrate contains about 25% copper by weight.However it is far from the finished product.So a tonne of concentrate must be worth less than 25% of a tonne of copper.How much less I don't know but if it were as much as 50% our 493 tonnes of concentrate would be worth about $1200 per tonne ie about $591600. Very happy to be corrected by anyone with more knowledge of this subject than I have,which gives plenty of scope for contributions
TDT. This appears to be your view and if this is the aim of the bod I wonder whether the plan has changed since Adam was appointed in that he said that the next step after the TEO is lodged is to secure a binding offtake so as to fund the BFS. If the for sale sign is to be hung up after we have the TEO and reserves figures am I right in thinking that a binding offtake could actually deter some potential purchasers in which case we would only go down that route if a purchaser could not be found.?
In the past AMC was very much a leaky ship and if there really is an NDA in place things must have changed. As ever it is difficult to get too excited despite the attraction of the scenario proposed by Hughes and for which I for one am grateful. I do however bear in mind the comment of TDT about being careful what we wish for in Abromovich. Same could apply to other Russians who take an interest
RL As ever many thanks for your detailed analysis. I will explore the links that you mention and as far as I am capable of doing,chew over the figures. It does appear, however, is that it is very much a case of the jury being out as to whether the NRR investment matches up to the the claims made for it by AH when it was first announced
Hi RL. Very balanced summary,as ever and much appreciated.
I was wondering whether you have analysed the NRR project in terms of it's likely Stage 1 profitability at current iron ore prices so that we can assess how much profit could be available to put towards stage 2. Also what chance Glencore providing the rest of the capital in return for an offtake on Stage 2 ?