Linc aren't the only ones quoting cheap production costs.
http://www.velocys.com/press/ppt/OCG%202012%20Funding%20Dec12.pdfKey Assumptions
Fully integrated facility producing
75% diesel & 25% naphtha
Gas price = $4/MMBTU
9,000 scf per barrel
Capital cost $100k per bpd for
2,500 bpd plant
Operating cost = $15/bbl
20 year plant life
Enables 15% - 20% ROI
(excluding product premium)
One thing for sure, the recent trillion dollar headline has certainly raised the profile of Linc, as can be seen by jurnos digging through Linc's history to find anything controversial. Maybe they could do an educational article for jurnos on resources, reserves and maths.
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