RE:my mistake of 2017
I found this old report on the net last week.
Report summary
The global average C1 composite cost for zinc mines was 54.6c/lb Zn in 2017. This was flat compared with the 2016 C1 cost at 54.1c/lb due to the lower TC's in 2017 as well as higher by product credits which offset an increase in cost to concentrate costs. The breakeven for 2017 C1 cost curve is at the 99.6th percentile at our forecast annual zinc price of 141c/lb (US$3102$/t). The breakeven for the total cash cost plus sustaining (TCPS) curve is at the 99th percentile.
If the report is accurate....
Nevsun C1 cost last quater was .84 for zinc. The industy average was .54
The profit between .84 and sell pricenow gets split 60 / 40
My guess is the market is telling us that.. There has to be better cleaner zinc plays out there.
Timok
From my perspective, the biggest change is they no longer plan to process any ore as DSO.
This move creates greater overall return, but delays that return.
GLTA