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Usually an investment bank (eg macquarie) long term forecast will be used for both metal prices and the A$/$US exchange rate.

These forecasts are pretty bullish for several years but metal prices almost always drop off markedly after that. And they are always well under current spot price.

Quite often the mining company will adopt an in-house 'base case' based on what the company thinks are suitable conservative metal prices.

However at the end of the day the finance house metal price estimates will be used for financing so project go ahead will eventually come back to the banks forecasts.

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