Scandium International Mining Corp T.SCY

5 to 7.5 tpa scandium from Phoenix CMR

[AllDutch1234567]

On slide 7 we learn that the total revenue from Phoenix CMR is USD 80M
-       Nickel and cobalt are primary targets – +50% total revenue.
-       Scandium and zinc outputs represent remainder.
 
So scandium and zinc also represent 40M together, maybe a bit less. Let’s assume 25-30M comes from zinc. That leaves us with 10-15M from scandium.
 
10-15M divided by 2,000 p/kg = 5.0-7.5 tpa

- - - -

Also on slide 7: Capital costs are SCY estimates, figures shown for entire project, partner’s individual shares not disclosed.

I find this remark extremely interesting. We could assume 50:50 split of everything, but I don’t think this is the case. Here’s why:
 
From a copper industry standpoint, this CMR process can effectively increase mine valuations, can effectively extend mine/reserve life at current production rates, and will result in cleaner tailings, potentially lower ongoing environmental management costs, and lower final reclamation expense.
 
All the benefits go directly to Barrick. How much could this be worth in total?  USD 50-250M? 
 
I think SCY gets the lion's share of the projected revenue and EBITDA!!!!!

I want more CMR projects ;-)

[Zerosum]

I noticed that the Cap Ex total across the HPA and CMR business's is about 170 million. They would need a good idea of recoverability at Phoenix to assemble those figures no matter how rough. So upside lies in more partnerships and copper mines adapting the positive aspects implementing this CMR technology offers them.We are in a win win business model and that should lower the barriers to

[AllDutch1234567]

Agreed. But first they need to raise the funds for the 3 development programs: - Phoenix CMR 1.35M (=50% of 2.7M) - Refinery 1.5M - HPA 1.8M That's only US 4.65M in total.

[northmark]

Is funding news next? I can't see Barrick waiting while SCY waffles about looking for their portion of the project cost. I think we're all in agreement that this project is probably well underway and not just beginning as the latest news release suggests. Let's see if the bank of Barrick steps in. 

[Zerosum]

A lot of capital will want to step in... Let's consider HPA. (the market is not) If you had an HPA refinery that may have a cap Ex of $70 million, but would potentially throw off EBITDA of $45 million per annum — you have a 3-4 year payback AISC than you're in a growth market that is already at 7 billion and growing at 20% yoy. if I had $70 million in my back pocket, where to I sign

[AllDutch1234567]

I totally agree, Zerosum. According to a (bit more) recent study below, the current market for HPA is about $2B, growing at a CAGR of 20%.      https://www.globenewswire.com/news-release/2020/10/13/2107302/28124/en/Outlook-on-the-High-Purity-Alumina-Global-Market-to-2026-Opportunity-Analysis-and-Industry-Forecast.html   SCY’s projected HPA revenue is $60M (see slide 9