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Bullboard - Stock Discussion Forum KWG Resources Inc C.CACR

Alternate Symbol(s):  KWGBF | C.CACR.A

KWG Resources Inc. is a Canada-based exploration stage company. It is focused on acquisition of interests in, and the exploration, evaluation and development of deposits of minerals including chromite, base metals and strategic minerals. It is the owner of 100% of the Black Horse chromite project. It also holds other area interests, including a 100% interest in the Hornby claims, a 15% vested... see more

CSE:CACR - Post Discussion

KWG Resources Inc > Wisdom of the Crowd
View:
Post by ClayTaurus on Feb 23, 2022 10:34pm

Wisdom of the Crowd

Just spitballing here… how much are the mineral “Resources” (as per 43-101 compliant estimates) worth, how much would it cost to dig them out, get them to refining and then to market, how much time would it take, and, how much do the First Nations get for being part of the solution and how do they get it?
Feel free to chime in and contribute to the discussion with any opinions, intel or factoids – we can find out whether we wind up with the “wisdom of the crowd” or “the madness of the mob”.  
Start line:                             https://kwgresources.com/kwg-for-clarification-requested-by-osc-2/
Project                 Tonnes (MT)      Grade                   Contained Chrome          %KWG                  MT Cr
Big Daddy            85,900,000           34.5%                    29,635,500 MT                    40%                     11,854,200
Black Horse        32,500,000           31.3%                    10,180,100  MT                   30%                       3.054,030
Interest                                                                                                                                                                14,908,230
 
Recent Price for Contained Chrome         https://zxferroalloy.com/resource/ferrochrome-price/
Let’s estimate USD $1.00/lb to keep it simple, or USD $2,200/MT
Gross possible value of 14,908,230 MT @ $2,200/MT would be USD $32,798,106,000
Convert to CAD @ 1.25 yields $40,997,632,500
 
Now…. How much will it cost, and how long will it take?   There’s a lot of discounting to do here.
 
Capex for mine – probably similar to Noront’s eagles Nest numbers in their Feasibility Study
Capex Railveyor – USD $657,000,000 or CAD $ 820,000,000
Opex Railveyor – USD $2.88/MT or CAD $36,000,000 per 10 Million MT/yr
Capex Electrical - $1.7Bn of which a good portion can be recaptured from existing subsidies
Capex Refining - ?
Opex Refining - ?
Other Costs?
 
Feel free to chime in and fill in blanks…
Comment by ClayTaurus on Feb 27, 2022 4:20pm
Direct Reduction:   Assuming the process is scalable to commercial, previous calculations had estimated costs if $175/Tonne for energy (NatGas) and $400/Tonne “for labour, pelletizing the chromite concentrate, the pellet binder, the solid carbon reductant, the proprietary accelerant and other consumables”   (excerpt from the 2014 Pope & Co. analyst report, still on the web here ...more  
Comment by ClayTaurus on Mar 01, 2022 2:28pm
Geez... If I'm going to have to play with myself, I may as well go over to the Noront board.
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