GREY:PGDIF - Post by User
Post by
ekimon Jul 08, 2016 11:00pm
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Post# 25037584
Was going to update the blog capital cost website with PEA
Was going to update the blog capital cost website with PEAThen I find out I don't really have to.
My total initial capital cost (without contingency) had a variance of $7 million over the PEA results. That is a 1.8% difference..which is well without the +/- estimate of a PEA.
EKIM - Estimated initial capital cost: (April 2nd, 2016)
Item 1 - Road - CAD$150 million
Item 2 - Mill - CAD$100 million
Item 3 - Mine - CAD$100 million
Item 4 - Camp - CAD$20 million
(Total without contingency) -- CAD$370 million
Contingency (~10%)-- CAD$40 million
Total -- CAD$410 million
PEA Capital cost (July 2016):
Without contingency -- CAD$378 million
contingency (~15%) -- CAD$57 million
Total -- CAD$435 million
Of course the details within the costs are a bit different or labelled differently.
But wow...Amazing how close I actually got.
I posted this over at ceo.ca on June 30th...just before end of day trading.
"Probably last 15 minutes to get into $PGD before the close. My estimate for the PEA results sit around a 30% IRR and an after tax NPV between $400 to $500 million."
I basically hit a couple of bullseyes.
Next up is the biggest enemy to Chidliak. That being strip ratio. This needs to get underground within the phase 1 period to push the NPV higher.
No doubt in my mind.
LONG...PGD
EKIM