GREY:LCPRF - Post by User
Post by
eebleron Sep 29, 2011 2:52pm
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Post# 19100184
Full metal calc's
Full metal calc'sJust circling back now that I have a bit more time. If you take the recovery grades and apply it to the total (assuming again that 100% of the resource is considered mineable), you get:
- 8.71B lbs of copper - avg 91% recovery - 7.92B lbs
- 2.97M ozs of gold - avg 61.5% recovery - 1.82M ozs
- 333M lbs of moly - avg 78% recover - 260M lbs
Revenue using the figures I already used:
- $17.8 B from copper
- $1.8 B from gold
- $3.8 B from moly
Total revenue = $23.4 B
Assume $1.5B capex and assume 50% operating cash costs (which includes sustaining capex):
- $10.2 B of operating margin
Earnings = approx $5 B
Now, they have stated that they intend to sell in 2012, but that is still a heck of a valuable project they are building up. As elmothefearless points out, recent drill results are only making it bigger/better. The other news about the cap they thought might be waste as now potentially having 0.3 g/t of gold in it definitely makes for a huge uptick if they can recover 60%. I think when the subject first came up the number I was using was 50% recovery, but at over 60% recovery that means as much as another 1m ozs of recoverable gold could be added just as a result of the top cap.
eebler