RE:The Last WordLOL, you can't even get the last word with yourself.
bloomfield18 wrote: This is why I'm not crazy about the Kipushi project:
https://www.mining.com/last-hurrah-zinc-price/
By the time the mine is up and running, zinc will probably be in the doghouse. At the base case scenario of $1.10 zinc, NPV8 = $683 million. At $1.00, Macquarie's long term target price, NPV8 drops to $508 million (Table 22-8, Kipushi PFS). Below a buck, value drops off rapidly. It's a good project, but unlikely to be outstanding.
With Albert Yuma Mulimbi, Minister of Mines, telling all and sundry he couldn't care less about the needs of shareholders, this is probably not the best project to drop a few hundred million. Money the Company does not yet have. In the current tense political climate, there are better options. Any money risked in Congo should go to Kamoa-Kakula first.
K-K is the flagship project. But Platreef makes a far better choice than Kipushi for number two position. PGM, gold, copper and nickel prices should hold up or even increase over the medium to long term. It's in a different country. A former SA President now serves on the board. And the current President of SA was a former IVN director for 10 years. Why make life difficult? The Company can split the risk between two mining jurisdictions. SA is far more stable politically than the DRC. And last but not least, Platreef is worth a lot more than Kipushi.
That's the Last Word.
Until next time.