OZ, I'm not trying to start a fight, but am wanting to set a few things straight. After re-reading the October announcement about the stockpile, which is the basis of the MOU, it is in black-and-white that both parties have agreed to a figure of 200,000 tonnes of concentrate. Surely, the Chinese company and CCZ must have evidence to support the figure. It is their estimate, based on onsite measurements by geologists and specialists of both companies. The figure it's not based on thin air. I'll now have a go at re-doing your calculation. (Please correct me if I make a mistake.)
Now to get 200,000 tons of concentrate at 22% would mean that there is a total of about 4,000,000 tons of dumoed ore at 1.2% in the 5 stockpiles. Now assume the density of the rock in the stockpile is 5, then the volume is 800,000 cubic metres. So each of the 5 stockpiles would be roughly 150,000 cubic metres (for simplicity forget that three of the stockpiles are much bigger than the others). Now 150, 000 cubic metres could be contained within a stockpile measuring 10 x 75 x 200 (height x width x length). Now I haven't visited the site of the stockpiles, but the map (Fig 3 of the October announcement) shows that the area of two stockpiles is 50m x 25m each and the height is quite big (see man standing in Fig 1). A third stockpile is bigger at about 50m x 50m. So to me there is a reasonable chance that the stockpiles could produce as much as 200,000 ton of concentrate. So I'm going with the statement by CCZ and the MOU.
Finally, based on 200,000 tonnes of concetrate at 22% copper with say 95% recovery. (I'm assuming that after trial-and-error they improve the recovery.) So roughly, 40,000 tonnes of copper will be exported in the concentrate. The in-ground value of the stockpiles is roughly 40,000 x $8,000 = $320 million for the copper alone (they do mention that the other metals in the concentrate will be paid for as well.) So, we'll be conservative and say $100 million is more realistic. That's still a pretty good kick-start of a smallcap miner. It is why the MOU provides $0.5 million upfront to CCZ to get the operation underway. And that's why my sentiment is to buy, amigo. (I'm assuming that the remedial work satisfies the Depatment's inspectors.)
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