Q1: Is Moly removed from NPV Hi all
I've been following and reading posts on here for the last few months,
I am a holder of WRN. I like the stock and I think it has major potential.
I have a number of questions, if anyone can help please do.
Q1: Is Moly excluded from NPV(8%) and if so why?
You will see on slide 15 (WRN_Corporate_Presentation_Jan_2023.pdf)
the value for NPV 8% is given at $2.33 billion CAD.
You can see this figure is taken from the maxtrix on slide 19.
However, for some reason, they use prices for copper @ US$ 3.60
and GOLD @ US$ 1,700 which intersects @ $2,334 CAD.
This matrix is taken from (M3-PN200352-Casino-Feasibility-Study-NI-43-101-Technical-Report_compressed.pdf)
Note: for some reason they decided to go for this intersection, despite the fact that it is not
aligned with the base case long term price assumption.
Actual long term prices (base case) in $US at an exchange rate of 0.746
Copper $4.50 or approx $3.36 US
Molybdenum $17.50 = $13.05 US
Gold $2,125.00 = $1,585 US
Silver $27.50 = $20.5 US
At the end of the Table 22-4: Metal Price Sensitivity, page 332.
Moly is adding ($2,166 M CAD) @ US 12 - I know Moly is currently trading a lot higher but in this case, I want to stick to the
long term price assumptions in the report.
So why is this removed fom slide 19 in (WRN_Corporate_Presentation_Jan_2023.pdf) ?
is it not logical that the NPV(8%) should actually be
(GOLD+COPPPER) $1,831 CAD $M PLUS $2,166 CAD $M which give a total
of $ 3,997 CAD $M
So why do they say the NPV(8%) is $2.33 billion CAD, that seems like half.
even taking these very low long term assumptions?
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