Originally posted by AlCp
I'm not here to do the work for you, I gave you the facts and numbers, their FOB operation cost will be higher than the price they can get for the initial phase of mining for the low grade nickel/high grade Fe from what I've gathered so it isn't viable (as a lot of us have been telling you) but once they've mined those ores on the surface and dig 5-10M, they will start to make a profit from those higher grade ores and that's when it will be economically viable.
But they will make a loss in the initial phase of mining (they can't afford that) so there is no-way they will be able to pay back any of the $20M startup capital during those few years, plus the loss incurred during that initial mining phase.
I can do a better analysis if they had produced a JORC and then PFS for SJ.....
AICp frankly speaking to my knowlage PL period should be used for drilling to discover deposit volume, prepare feasibility study to know about economy of the project and to have ready environmental impact studies.
How was prepared the mining lease application when AVQ was not ready with drilling.
It's maybe the point that Minister mentioned in the public: "Mr Mount went to the levels of using external political influence to ensure that Axiom was granted a mining lease on Isabel"
IMO the question should be follow
