RE:RE:RE:why no update on PEA and new results yet?mingzhu wrote: can you support the statement "
Turnagain doesn't even break even until ~$8-9/lb nickel"? NickelShill wrote: Because the results will be lacklustre and management would rather ride the wave of hype and dreams than publically quantify that Turnagain doesn't even break even until ~$8-9/lb nickel. Nickel sulphide deposits are a dime a dozen. This company is fundamentally a nothingburger.
Not substantively.
Last year I created a discounted cash flow model for FPX Nickel, to get a feel for the economics of their Baptiste deposit, and concluded that $6/lb was the break-even price for that project. The PEA they recently released showed that my figures were in the right ballpark, albeit a touch conservative.
That said, the flow sheet for Turnagain is more complicated than that for Baptiste. Whereas nickel sulphide requires smelting, awaruite can be processed via a simple mechanical grind and flotation recovery.
The $8-9/lb figure is a high-level estimation that tacks on a couple bucks to account for this increased complexity. It might be closer to $7-8/lb but I really don't see it hitting the $6-7/lb range. We'll have to wait for the PEA to know for sure, but my instinct says that it's likely toward the high end, given that management is sitting on it with no status update after selling most of their shares.
YMMV, DYODD, GLTA