Beardy if you have a look at the 2017 scoping study done they mention shipping ex-Karumba. However that said a lot of things have changed since then. I personally think Karumba option the may need further infrastructure/barge like the Century mine has. So as a back up probably truck (maybe also some rail) to Townsville and perhaps trucking some to Darwin (however think it will be less likely due to cost/greater distance and not sure of the road conditions up going that way). In any case they will run the analysis on all of this in the full feasibility study.
Isa copper smelter a life of mine until 2022 as I understand which may get extended. Worth also keeping in mind that there is a acid by-product credit which is not factored in at all this analysis. If Isa does shutdown in 2022 Intec Pivot’s fertilizer plant will need S. Acid which funnily enough we will produce out of our cobalt roaster. If there is enough demand & a good price for S.Acid they may even chose to roast their copper con and produce copper cathode and sell additional sulfuric acid.
The road conditions that part of the world during wet season just take some forward planning - larger storage areas for the products which is cheap enough to build in the form of a larger warehouse and additional acid storage tanks. Not expensive in the scheme of building the mine but sure every couple of years there could be some disruption.
$0.58/share is pretty conservative depending on the view of electric storage and impact on prices for copper and cobalt (and even S. Acid). There are a lack of high grade copper projects ex-DRC and ones with cobalt are even more rare. Each to their own though.
AML Price at posting:
29.0¢ Sentiment: Buy Disclosure: Held
(20min delay)
