profit on fms mining?, page-10

Flinders to Raise $14.3M to
Commence PIOP BFS

Firm commitments received for Placement raising A$6.8M

Flinders to undertake a 1:7 Non-renounceable Entitlements Issue to raise a further A$7.5M


The Company will use the funds raised under the
Placement and Entitlements Issue to:
• Conduct further drilling on the PIOP with a view
to upgrading existing Inferred Resources to
Indicated status;
• Commence Bankable Feasibility Study (“BFS”)
and detailed design studies; and
• Provide working capital to the Company.


http://www.stocknessmonster.com/news-item?S=FMS&E=ASX&N=785651


Admin expenses are around $5m per year , cost of drilling is expensive and extensive so many more millions here , Not much money it appears for BFS and detailed design studies but to commence as they say.

If your costs are $84 (fully debt funded) for a $100 IO price you are going to be classified as a high cost producer whilst many projects around the world are waiting funding with a cost figure half that $84 .