TSXV:EPO.H - Post by User
Comment by
more2comeon Mar 06, 2012 8:15pm
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Post# 19636080
RE: RE: RE: RE: RE: RE: Cmon JW
RE: RE: RE: RE: RE: RE: Cmon JW epo:
| | Solution Mine | Conventional Mine |
| Indicated Resource (% KCL) | 79.1 MMt @ 29.4% | 45.9 MMt @ 34.8% |
| Inferred Resource (% KCL) | 60.5 MMt @ 29.7% | 32.7 MMt @ 36.1% |
| Initial Mine Life (Indicated) | 32 years | 23 years |
| Possible Additional Mine Life (Inferred) | 24 years | 16 years |
| Annual Production (Primary & Secondary) t KCL | 2,500,000 tpy | 2,000,000 tpy |
| Total Estimated Capital Cost | $2,418,100,000 | $2,716,200,000 |
| Project Unit Operating Cost/Tonne | $68.14/t KCL | $55.07/t KCL |
| Estimated Net Present Value (NPV10) | $2,859,000,000 | $2,347,000,000 |
Estimated After Tax & Royalty (IRR) @ $450 t KCL
(Base Case) | 24.0% | 20.9% |
| Estimated After Tax & Royalty (IRR) @ $500 t KCL | 26.6% | 23.4% |
| Estimated After Tax & Royalty (IRR) @ $400 t KCL | 21.3% | 18.3% |
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wpx:
- Measured Resource: 637 Mt in place sylvinite grading 30.47% KCl (64 Mt of recoverable KCl)
- Indicated Resource: 1,857 Mt in place sylvinite grading 30.35% KCl (180 Mt of recoverable KCl)
- Inferred Resource: 8,907 Mt in place sylvinite grading 30.31% KCl (701 Mt of recoverable KCl)
Target Annual Production rate 2.8 Mt/yr
Life of Mine 40 years
Years of Construction 3
Construction Start-up 2013
Mining Start-up 2016
Years to Full Secondary Production 6
Long Term Potash Price (FOB Gate) $511 US/tonne
Assumed Exchange Rate US$/CAD$ 1.00
Taxes and Royalties $28.90 CAD/tonne
Sustaining CAPEX Rate % 2.0%
Base Case 100% Equity
OPEX $62.35 CAD/tonne
Initial CAPEX $2.458 Billion CAD
Port CAPEX $300 Million CAD
Total Initial CAPEX $2.758 Billion CAD
NPV (10) $4.14 Billion CAD
IRR 22.7%
Payback Period 5 Years
"The PFS confirms the compelling opportunity that the Milestone project represents for the Company and the Province of Saskatchewan to develop a world class potash mining operation. In addition to the 40 year scope of mining contemplated in the PFS, the known resource is sufficient to support ongoing mining for an additional 40 years and beyond."