FP Profit Out Look at POG $1900 USThe 2019 FS which included an extra cost of the $33 million US for the Biox unit had a break even
POG price of 1100 US.
This was based on POG of $1300 US.
Given the plant efficiencies introduced since then, the trade off in cost of the milling plant versus the approximate 15% discount on the Concentrate , and the added operating cost of the Biox Plant and much less sustaining capital , I doubt that the break even price has changed much.
To be conservative I assume $1300 US as the current Break even cost.
At $1900 POG, we are free cash flowing $600 US per Ounce.
At 40,000 ounces per year , we are throwing off $24 million US in cash to the balance sheet.
That's about $30 million in CAD or about $0.09 per share per year in free cash.
I have forecasted at least $15 million CAD in cash subsequent to completion of the FP .
Add $30 million in incoming free cash flow and we would have about $45 million CAD after the first 4 months of post commissioning production.
That's about $0.16 CAD per share which makes entry right now to be very risk averse.
I have resumed buying ..