Almonty Industries Inc T.AII

Ramp Up.

[5ilverlining808]

I would say wrong, and take the 6 months out of your calcs as we will go to full capacity "right from the beginning" as my understanding is that the "ramp up" is now forgone for 640,000 tpa and Almonty will go to 1.2 mil tpa from the start.

At the 19.30 mark :-

https://www.youtube.com/watch?v=ghc19vO7M8k

 

Commissioning might take 6 or more months, but that does not mean that output is not a saleable product and for the most part commissioning is to ensure the equipment supplied is up to the job it was designed for and works for a determined period of time (by the supplier and the company) without any major issues.

 

The other part of commissioning is to prove to the off-taker (GTP/Plansee) that the product is worthy to buy.

 

Plant tweaking will be the first part that is very important during commissioning to achieve a grade acceptable for sale.

 

Tweaks and plant upgrades will be non-stop during the mines life, as there is always a new tech, machine or chemical process innovation that can improve production grades and rates in tpa,

ie when something does not work or is not up to scratch, then you rip it out and replace it with something that is.

 Plus far future demands might warrant another Tungsten or Moly process plant on site "over another hill" to meet those demands ???
My meaning on this is that the mines will be in demand for close to 100 years.
I'll be worm food long before that lol and ouch !!!

 

 

 

 

[blueskies]

Thanks for the info 5ilverlining808. I am assuming the same as you, 640,000 from the start based on comments from Lewis. Can you confirm, if the grade is higher than expected, (which Lewis has mentioned before by saying they were pretty conservative on grade in the studies), is the higher grade more likely to result in a the 640,000 growing or the ore needed to get to 640,000 shrinking and thus

[QuarterDollar]

I started the confusion by stating 640,000, but 5ilver is correct, they are mining 1.2M tonnes from the very start......i.e. ramp up from 0 to 1.2M tonnes of ore per year......... there is no intermediary step of 640,000 tonnes. @blueskies You share price range is very wide and that is because you are starting off with an assumption of free cash flow at various points within the range of

[5ilverlining808]

From blueskies :- "Can you confirm, if the grade is higher than expected, (which Lewis has mentioned before by saying they were pretty conservative on grade in the studies), is the higher grade more likely to result in a the 640,000 growing or the ore needed to get to 640,000 shrinking and thus reducing mining costs?" I cant confirm anything on grades, but if it is a conservative

[QuarterDollar]

ok......my calculations are based upon 1.2M tonne processing capacity and yes I totally agree with oversizing equipment when designing a solution for anything in production, but I never considered increasing the tpa, so this could bring more positive news to shareholders in the future. I won't be increasing the tpa within my calculations but now I am a little anxious to see the actual

[blueskies]

Sorry on the mistyping of the 640,000, what I should have said is I'm assuming about 500,000 MTUs Wo3 right from the start of off 1.2 million tonnes of ore. So what I was trying to ask is if the grade is higher, do you think Almonty will focus on producing a level number of 500,000 MTUs and benefit from requiring less than 1.2 million tonnes of ore to get to 500,000 MTUs so lower cost to

[5ilverlining808]

@ blueskies, First part of your question :- "So what I was trying to ask is if the grade is higher, do you think Almonty will focus on producing a level number of 500,000 MTUs and benefit from requiring less than 1.2 million tonnes of ore to get to 500,000 MTUs so lower cost to produce 500,000 MTUs; or," Answer :- No way at all, and the cost of mining production or feed rates of raw

[blueskies]

Thanks for the response 5ilverlining808 this is the best response I have ever received to any question I've ever asked on a forum, loved it from shilt right through drinking orange juice:)

[QuarterDollar]

How much tungsten will Sangdong produce annually? 1.2M tonnes of ore will be extracted According to the Investor Presentation, the grade is 0.45%. Lets assume it is 0.42% This translates to 504K MTUs per year. LB has stated the grade is 25% - 45% higher.... If this is the case, then that will translate to 630K MTUs to 730K MTUs These calculations don't factor in

[QuarterDollar]

@blueskies, They will run the equipment at an optimum level where costs are their lowest within the design spec of the hardware. If there is additional tungsten within the ore, that will just add to the bottom line.  Plus to keep their word, they will process around 1.2 million tonnes, which again is to the specs of the mining equipment. If they can process more such that costs are

[QuarterDollar]

@5ilver..... Wrong you say?......lol First of all you are correct.....Almonty is starting at 1.2M tonnes of ORE....and no I don't have the 640,000 tpa within my calculations And thanks for the additional information...... According to the DRAG/Almonty Investor presentation (IP) of July 2020 states: Around 700K MTUs...lets make it 675K MTUs minus 125K MTUs (for the production

[QuarterDollar]

5ilver! You brought up an interesting point.  I did think of this several months ago but then dismissed it. I would be amazed if LB found another tier one mine that was as profitable as Sangdong. Then there is the mining equipment I think is being installed at one end of the resource so as the tungsten is extracted, the resource is moving further away from the mining equipment

[5ilverlining808]

I was talking about two totally separate Tungsten process plants (not mines) at Sangdong mine site. The one that is now being built, and another to maybe be built in the future ???   Lewis said Almonty could sell 3 to 4 times the "output" when process plant is at full capacity at Sangdong, and of course that does not mean what we can produce right now, but what could be needed. So