RE:RE:Kaiser Says PEA & Van Drilling This YearI found the "minimum 15% IRR" comment to be quite interesting.
Turenne is a conservative fellow and I suspect he is trying to build some optionality / flexibility into the project to guard against future uncertainty in the price of nickel and other factors.
Remember that IRR is a PEA term. Internally, FPX knows exactly what they have in Baptiste but cannot say so publicly. My guess is that the 15% IRR threshold can be achieved at something less that $6 nickel. How low is up for debate, but I would not be surprised to see a number that is sub $5.
potluck1 wrote: Interesting read, having spoken with FPX they are very tight lipped on timing for revised PEA, so it was surprising to see the timeline table Kaiser put together;
Feb to Late May - Internal trade-off study to determine what market price is needed to establish minimum 15% IRR, if positive will begin updated PEA with optimized ore schedule.
June to Late Sept - If nickel price trade-off study positive will update PEA using optimized ore schedule, expected to take 4 months.
July to Late Sept - Drill Van
How well informed do we think these timelines are?