Lumina Copper Corp LCPRF

RE: More drilling

[elmothefearless]

Yes, great point eebler.
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To calculate the NPV of the Taca Taca project, they will include the cost of clearing away all the dirt to get to the "good stuff" 150 - 200 meters below the surface.  As eebler has pointed out, if the dirt has gold in it (especially oxide gold, which is easier to recover), all of that dirt that would otherwise represent purely a cash outflow will actually generate a nominal amount of cash inflows.  While the amount won't be very large, NPV analyses value cash inflows in the first few years, and cash inflows in the latter years are usually heavily discounted.  So this oxide cap could mean a material boost in the project economics.
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That, in conjunction with another significant intercept, and the extension of the resource to the north (i.e. suggests further exploration upside to an acquirer of Taca Taca), this was a very good news release indeed.
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Cheers to the LCC longs.