Australia's largest stock trading and investment forum Australia's #1 stock forum

BAT

Click for more information

5.56%

1.9¢ battery minerals limited

Value engineering study - diesel cost assistance, page-2

First 2 Last

Share
Profile

Follow
10mc

2,877 Posts.

10

07/05/18

18:18

Post #: 32936554
Share

Originally posted by CBHOLDING ↑

Guys - I've done a lot of research on graphite over the years and I don't mind BAT, first to market (or second follower) and all that - exposure to downstream, crawl/walk/run is smart etc. etc.

I'm trying to model the project in line with the RCF transaction and have a technical query regarding the cost of diesel for those who've followed it for a while or who have Mozambique experience...

Sorry for getting technical, but this is very important input as it will also be used for drying the graphite, which probably uses even more diesel than power generation and is likely wrapped up in their processing cost, so here goes:

Appendix 3 of VES (p.12)
Diesel consumption pa (ex-dryer?): 7.17 ML
Diesel cost pa (ex-dryer?) $92.17/t

So at an average production rate of 49,600 tpa ($16.72M / $337, calc. from p.6) this is $4.6M pa in diesel (ex-dryer), which when divided by 7.17ML is about US$0.64/L.

So let's call diesel ~US$1.00/L at the bowser in Moz, suggests that BAT are exempt from taxes and duties of ~50%.

Can some help me understand if all the above is correct?

Expand

pg22. Latest investor presentation.

BAT Price at posting: 6.1¢ Sentiment: Buy Disclosure: Held
1 Upvote

0 Great analysis

Reply

Top Stories

Chaos reigns markets – so let's take stock of where we're at ahead of December

WC8

Pan Asia rebranding to 'clear confusion' after bagging $35M for Chile projects

Watchdog takes Webjet to court over alleged 'false' flight prices with hidden fees

ACW

This biotech stock raised $11M in a risk-off environment. Its Alzheimer's drug could change the game

SHN

Chimeric clocks $4.17M R&D tax rebate from Canberra

MTM

Australian Rare Earths bullish on early-stage uranium potential at Overland, SA

OCN

Southern Cross Gold zooms in on 9 new high-grade zones above 20g/t at Golden Dyke

PME

Pro Medicus signs landmark $330M deal to roll out imaging platform in US hospitals

MIN

MinRes's Ellison knows he screwed up – for that reason, hunt for new Chair to be sped up

History-making uranium sample grades and an imminent drill run. Infini Resources is poised to transform in 2025

There are more pages in this discussion • 1 more message in this thread...

First 2 Last

Add BAT (ASX) to my watchlist