From the Scoping Study, assuming that we get first shipment this month, that would put us roughly in M4 of the schedule.
View attachment 1323843
Assuming the schedule is kept (which I doubt it, but for a reason that's good for holders), then in ~8 months the mining crew will be done. I'm wondering how long it will take to prove up another target, knowing this one was done rapidly? I think they can get it done within 12 months, and perhaps even time it to coincide with the completion of this pit. Instead of 9 months of cashflow expected within 12 months, we could be looking at 12 once cashflow starts (granted we would have to spend money drilling/planning etc to achieve this, so you couldn't just pencil in 12 months of cashflow landing in the bank as such if this was to occur).
I have mentioned it before
35064587 (the reason I think this may run over schedule),
but the scoping study wasn't done on any of the inferred resource, I know that there is no guarantee that it's there, but there is no guarantee that less than this category is there also.
Macy Indicated Zn is 104,300t,
with Inferred at 18,000t
Potentially there is an additional 18kt of Zn ore to dig up, an
additional 17.25%.
Macy Indicated Pb is 5,500t,
with Inferred at 4,900t
Potentially there is an additional 4.9kt of Pb ore to dig up, an
additional 89%.
So there could easily be 20%+ cashflow than whats projected to look forward to in the next 12 months (Zn is a much higher proportion of projected cashflow due to price/volume to be mined). *This is assuming all the indicated and inferred resource exists at a minimum. I think if this occurs, this pit will be mined for ~12 months, giving plenty of time to get the next target defined and ready.
Current Zinc price has recovered to be a little below the low case in the scoping study, however the exchange rate has moved favourably about the same % (lead price is slightly above). The scoping study based on indicated resource only, shows $16.4mil cashflow from 9 months of actual production.
Based on current prices staying the same (unlikely but what else can you go off),
if we add 20% for the inferred portion, that gets us closer to $20mil cashflow and ~3.4c/share cash equivalent cashflow over roughly the next 12 months.
This is assuming no exploration upside from the many other targets we know about...
