Palladium up another $100/oz this morningThe chart below compares the current GENM ore value, based on Jan 16.spot prices, vs that in their preliminary ecomonic assessment.
| Mineral | Ore grade | PEA
Price (US$) | Jan 16/20
spot price (US$/t) | PEA Ore value (US$/t) | Jan16/20
Ore value
(US$/t) |
| | | | | | |
| Palladium | 0.69g/t | $1275/oz | $2378/oz | $28 | 52 |
| Copper | 0.22 % | $3/lb | $2.83/lb | 15 | 14 |
| Platinum | 0.21 g/t | $900/oz | $1026/oz | 6 | 7 |
| Gold | 0.07 g/t | $1300/oz | $1555/oz | 3 | 4 |
| Silver | 1.5 g/t | $16/oz | $18/oz | 1 | 1 |
| | | | Total | $53/t | $78/t |
| | | | | | |
Considering the Jan 16/20 gross ore value of US$78/t and recovery of 83%, current net ore value is US$ 65/t. Considering total PEA operating costs of $19/t CDN or $14/t US, operating profit is US$ 51/t. Thus, the initial mining rate of 14,000 t/day, generates operating profit of US$ 261 mm/yr or US$ 2.85/share ($3.75/share CDN).
Also keep in mind that this ore body has already seen a huge amount of work over the past decade and all the mining related infrastructure one could possibly hope for is right there on their door step at Marathon, so let the fast-tracking begin.
The Mookster