MGT 0.00% 17.0¢ magnetite mines limited.

Ann: Positive PFS Results for Razorback Iron Ore Project, page-270

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  1. 939 Posts.
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    Thanks @neeco68, that is the one I was looking for. I work out the opex cost to be AUD$74.19/t on head grade improved scenario which is also the go forward option. Total cost per feed ton (1.81 + 4.61 + 0.76 + 1.39) = aud 9.11. We need 15.5 feed ton to produce 2.7 ton so 5.74 ton feed for 1 ton concentrate. cost per ton concentrate = 9.11*5.74 = $52.29 plus transport $21.90 = A$74.19 = US$55.6. I think that is great result. We need to remember this cost doesn't include saving from NextOre tech. It is expected the saving could be up to 20%. So that is likely to come down in DFS estimate. Comparing 2013 PFS where opex was US$68, that is 18% reduction not considering the inflation and other factors and most important ones are additional cost of road and rail transport compared to 2013 where the plan was to install a slurry pipeline. I applaud management for this achievement. And what management has said they plan to focus on reducing the cost soon after going into production.
    Our per ton realisation based on US$110 LT average price will be A$180/ton. That is gross margin of 142.6%. That is outstanding as it stands.
    I bet a lot of people posting their 2 cents here wouldn't have looked at this aspect or simply have no idea about it.
 
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