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Ivanhoe Mines Ltd T.IVN

Alternate Symbol(s):  IVPAF

Ivanhoe Mines Ltd. is a Canada-based mining, development, and exploration company. The Company is focused on the mining, development and exploration of minerals and precious metals from its property interests located primarily in Africa. Its projects include The Kamoa-Kakula Copper Complex, The Kipushi Project, The Platreef Project., and The Western Foreland Exploration Project. The Kamoa-Kakula Copper Complex project stratiform copper deposit with adjacent prospective exploration areas within the Central African Copperbelt, approximately 25 kilometers (km) west of the town of Kolwezi and about 270 km west of the provincial capital of Lubumbashi. The Kipushi mine is adjacent to the town of Kipushi in the Democratic Republic of the Congo (DRC) approximately 30 km southwest of the provincial capital of Lubumbashi. The 21 licenses in the Western Foreland cover a combined area of 1,808 square kilometers to the north, south and west of the Kamoa-Kakula Copper Complex.


TSX:IVN - Post by User

Comment by Muffybell1on Jan 21, 2023 10:29am
267 Views
Post# 35237259

RE:RE:Now I have a suggestion for the shareholders here

RE:RE:Now I have a suggestion for the shareholders here Good suggestion, but due to the development of the 3rd mine at K&K and the smelter, Platreef mine and Kipushi, I don't yet have the info in regards to production details at those and of course it all hinges on the commodity prices by 2024/25, But if you just take K&K for example, we will be producing about 600 thousand tonnes which is roughly 1.32 Billion pounds of copper of which IVN has again about 40% which translates to around 528 Million pounds. Now we have to make some assumptions which is the 
copper price so lets stick with the current 4.25. Again we have to assume our C1 on site cost of around 1.41 (current) but again, this will change since prices are going up but with the completion of the smelter our costs are going to go down. So, take 4.25 subtract 1.41 and we get 2.84 multiplied by our 528 million pounds and we have roughly 1.5 Billion in earnings. Now I am certain from what we all know and read about that these prices and costs will change by 24/25. Now that is ONLY our earnings from one location, K&K. Platreef as you all know has many precious as well as base metals so that will be a bigger calculation as we go along since there we also have take off agreements and so on. Than there is Kipushi and we wioll have to wait to see where they start producing from since some of you know that the lates drilling we did there years ago we had very high grade copper as well as the zinc, but this gives you at least an idea of how very Large our earnings and hence proffits will be just on the current copper prices. You can look at it another ways as well since we will have about 528 million pounds of copper by 2025 IVN's share, for each dollar rise in copper price, you can than add 528 million to our vbottom line. It should now be easy to see why I love IVN as an investment. The market will than determine what price it will give us and that will than give us the market cap which you can than divide by our earnings and get the PE. It used to be that the base metal companies had an average PE of around 18 to 25 so we will see what our earnings wil be for the first quarter of 25 which we will only know by around May of 25. Are you willing to hold IVN until than ? I AM. 
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