gs,Thanks for that but my question is more about the application...

gs,

Thanks for that but my question is more about the application of the recovery factor.

Is the figure of $15 or $20 in the ground arrived at by multiplication of say $40 residual value after production costs multiplied by a recovery factor.

i.e 40 x 0.3 = $12.

Or does the recovery factor need to be applied to the lower figure i.e.

$12 x 0.3 = $4 (ish).

Nido has just posted a presentation using the latter method. If this is the case I'm struggling with the previously posted 'ITC is worth 8-10 cps sentiment'

all help gratefully recieved.

OM