RE:$750 Million Offtake Agreement Details@Blueskies,
If you increase the price to current levels, about $330 / MTU APT or $257 / MTU for the product Almonty sells (which the offtake allows for), well the free cash flow of the GTP offtake agreement at 210,000 MTU's becomes $32 million, and if you assume Almonty can sell all 500,000 MTU's which again I assume they can, then Almonty has about $75 million in free cash flow from Sandong within the first couple years of production.
- LB stated that they estimates were extremely conservative in their production calculations. Others have said the same thing (although I don't recall if it was the company measuring the core samples). Regardless, LB said they will be producing 25%-45% more.
- So Blueskies, using 25% increase output will push up your 500K MTUs to 625K on the low end.