Woulfe Mining Corp WFEMF

Define 170/mtu break even

[junior_miner]

Where can I listen the conference call?

$170/MTU break even has been tossed around. But what it really means? Without hearing the cc, it could be:

- costs including depletion and amortization

- NPV breakeven at  discount factor of ?

- Direct operating costs

So which one is it?

[Flow23]

Problem solved.... From Mr. Wesson: 150-170 all costs apart from capital So with Majormacs figures: 65 Mil Profit  5 Mil + 80 Mil + 15.8 Mil = 100,8 Mil Debt 1. Case (4% interest rate)  : 61 Mil 2. Case (8% interest rate):  57 Mil But with that cashflow the debt is gone in 2 Years! :-)    

[Majormac79]

not bad for a mine that can run over 40 years (50-60years stated in march 1/2012 web conference) while maintaining 1.2mta

[junior_miner]

Thanks Flow23, I went ahead and put some number's from the scoping study to my NPV calculator. on site operating costs were $32,5 per tonne ore. Taking into account throughput is going to be only half of the scoping study, costs rise to approx $39/t.  W grade 0,45%, dilution 10%, recovery 70%, this translates to $135/ MTU. It is easy to see that inflation etc takes the costs to $150/MTU

[Flow23]

Junior_miner, have you read the Valuation Report from Aug. 2011? Interesting read with some more realistic numbers than the scoping study. Available at Woulfe homepage --> Milestone documents With 375$/mtu: 575 Mil.$ With 400$/mtu: 649 Mil.$ With 450$/mtu: 798Mil.$ with following parameters underground mining, with decline access mine production rate of 1,200,000 tonnes per year mine