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8.33%

1.3¢ king river resources limited

I wish I understood more but all I can assume is that the SP...

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davegilbert

277 Posts.

39

22/03/19

07:23

Post #: 37847067
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Originally posted by 7benson7: ↑

Yes! Can be worked out now with some rough inputs, please have a go and compare. 40kt is it? Okay, profit then...

Processing opex $46.44 / t mined. Divide by 2200 for pounds and divide by head grade to get the quantity required and we've got a few cents over $7 / Lb cost, not bad.

Assumes 100% recovery of course so make it $10 / Lb allowing for reasonable loss.

You're using $11 / Lb input, cool. Profitable? Tick. Before mining, tailings, that short trip up to Darwin, administration and more than a little bit of interest. Let's call these 50c because I'm extremely kind = US$44m profit.

Easy to get from there to NPV. Just run your 50c x 40kt at a 10% discount in perpetuity (1000 years, near enough) and subtract US$676m non inclusive capex.

Negative $236m NPV. Actually the inverse reported average EBITDA of a peer, would you believe? You can't make this stuff up.

Tip... works better with the $20/Lb management are banking on.

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I wish I understood more but all I can assume is that the SP will absolutely sheet itself when open again?

KRR Price at posting: 2.9¢ Sentiment: Hold Disclosure: Held
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0 Great analysis

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(20min delay)
Last 1.3¢		Change 0.001(8.33%)		Mkt cap ! $13.75M

Open	High	Low	Value	Volume
1.2¢	1.3¢	1.2¢	$51.72K	4.296M

Buyers (Bids)

No.	Vol.	Price($)
3	630000	1.1¢

Sellers (Offers)

Price($)	Vol.	No.
1.3¢	1876614	5

View Market Depth

No.	Vol.	Price($)
22	6200311	0.009
8	28480304	0.008
5	5799516	0.007
6	5100808	0.006
12	8038888	0.005

Price($)	Vol.	No.
0.010	1100000	2
0.011	2390000	4
0.012	1242985	7
0.013	1846567	8
0.014	972413	7

Last trade - 16.10pm 22/11/2024 (20 minute delay)

KRR (ASX) Chart