To be clear, 1 penny/cent profit means its economical to mine. What we need the new financial study to say is economical to mine at $4.5LB copper with a profit of 25% over the life of mine. Even at this, it is worth something but its not going to have majors fighting over it.
LETS WAIT AND SEE!
We already know it will be economical to mine.
It's at what price and how much profit it will make.
I looked into it a bit and 15% net profit over the mine life is what they class as a minimum.
Australia tax is 30% on mining profits.
So on a mine they want 22% profit minimum pre tax. So on a 8 billion dollar life of mine capex and opex. 2.5billion pre tax profit would be minimum.
I think bushranger will meet that.
Price to sell it? Not a clue. But I would be happy at 60/70/80 million.
I find it extremely difficult to imagine that Jeremy read and quinton Mills (spelling may be wrong) have spent the last two years of their lives/professional careers to come back with a resource that is the same as before but they have lowered the cut off!!!!
Does that not sound insane?
Stevemocal, colin in a recent interview stated $10 per tonnes of ore. 0.1 cut off at $10k copper price is break even. Remember from the first conceptual study, Jeremy said if we could convert the waste to ore it will impact the economics drastically. We'll that waste can now be processed at break even at 10k.
Let's simplify it Steve. No-one here has the credentials so let's talk it out.
Everything is in us dollars.
1.1mt copper at $8000 = 8.8billion
Capex is approximately 1 billion us.
Opex is 311millon? X 25 years = 7.8 rounded up.
$8000 Is break even.
Plus ascot and then some additional potential from the other licenses. Also possibly a smaller mine and tonnage. Maybe $10k copper or $11k
Some more drilling etc.
Maybe at this mcap there is still potential?
There are so many variables that someone unpressional with a pen and paper can not work this stuff out.....especially not in a couple of days.
They also do not have all the data.
What was Steve's previous predictions on the possible contained copper for racecourse?
Go back, I bet they are wrong. Doesn't mean he's wrong this time though haha
I sold a load this morning when I read Steve's posts. I then bought them all back.... made just under £1800 thanks Steve. Hope you are wrong obviously.... taking a gamble that ascot and some more drilling can get us over the 2mt and get passed AA clause. Going to be a few more months or years wait unfortunately. As you all know I have been extremely unhappy but I'm not willing to sell now.
There won't be any point in exercising options at 10p if they only sell at 12pish due to taxation.
Depending on the person's tax liability.
So maybe not so much more dilution to come?
My thoughts are..... still worth over 10p.
Maybe with ascot 15p.
Not what was expected thanks to Colin but still a good project and license area.
I'm sure there a lot of interest in our license areas now.