Unless I've missed it, no-one has commented that A$3.3m was reported as Production operating costs. Presumably this is the cost of producing the Ore for DMS stockpiles and the DSO shipment that will soon be A$20m of cash. Now that's a nice profit margin!!.
On the negative, the cumulative PP&E and other non-current asset expenditure is getting above the totals I'd expected. If there is a $10's of millions capital overrun, its a couple of cents negative to the share price. The big boy's will have known this as they unpacked the quarterly. With Core having raised $100m, this won't cascade to a capital raise but it may have been a problem if Core hadn't raised the extra $100m.
The table below is the combination of the last six quarterlies. Up until the September quarter, costs were still under the known budget of A$95m, but not by much ($95m = $89m + $6m extra for DMS acceleration). This quarter had $51.5m of Capex including $41m of other non-current assets - Mine Development. This takes the known Mine development to $54.7m and if the other non-current asset expenditure was also mine development, the cost of this component is now out at $75m. This is slightly over double the quoted $33.9m for Grants pre-strip.
Interestingly Core has decided not to front-foot this in the quarterly and explain what's happening, particularly since the pre-strip appeared to be complete very early in the December quarter:
- Is there just a massive cost blow-out and the extra charges were agreed in the December quarter, hopefully to be forgotten or forgiven when the spod shipments start?
- Have some expensive costs towards BP33 been incurred?
- Is this starting to capture the $10.3m of FY23 expenditure in the DFS for processing and other infrastructure?
- Has Core implemented some other project like connecting the remaining 8km to the grid? (and if so, why not announce it?)
- Is a useful amount of capital expenditure being spent to recover lithium from fines (or prepare for DSO sales)?
The August 2021 estimated cost was A$89m. The A$100m capital raise noted A$6m extra for DMS project acceleration taking the total to A$95m.
- Forums
- ASX - By Stock
- CXO
- Ann: Quarterly Activities and Cashflow Report 31 December 2022
Ann: Quarterly Activities and Cashflow Report 31 December 2022, page-83
-
-
- There are more pages in this discussion • 8 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add CXO (ASX) to my watchlist
(20min delay)
|
|||||
Last
10.0¢ |
Change
0.000(0.00%) |
Mkt cap ! $213.6M |
Open | High | Low | Value | Volume |
10.0¢ | 10.5¢ | 9.9¢ | $1.160M | 11.51M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
7 | 334432 | 10.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
10.5¢ | 5164094 | 72 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
1 | 23172 | 0.100 |
6 | 403152 | 0.099 |
4 | 440000 | 0.098 |
1 | 1250 | 0.097 |
10 | 675252 | 0.096 |
Price($) | Vol. | No. |
---|---|---|
0.105 | 3555155 | 53 |
0.110 | 2089931 | 42 |
0.115 | 1465104 | 26 |
0.120 | 1646275 | 24 |
0.125 | 1058485 | 23 |
Last trade - 16.10pm 13/09/2024 (20 minute delay) ? |
Featured News
CXO (ASX) Chart |
The Watchlist
LPM
LITHIUM PLUS MINERALS LTD.
Simon Kidston, Non--Executive Director
Simon Kidston
Non--Executive Director
SPONSORED BY The Market Online