Welcome to the wonders of mining accounting. Your numbers are really way off base.
Revenue stated was 159 million. This was 13,752 ton. Revenue 159 million / 13,572 = 11,715 A$ per ton. Revenue 11,715 / 2,240 = 5.22 A$ per lb. This means that the basic price for nickel is a lot lower and the smelter charges are a lot higher than in your calculation.
Cash margin therefore is just 5.22 - 2.69 = 2.53 per lb.
Total cash margin is 2.53 x 2240 x 13572 = app. 77 million.
Deduct a lot of other costs such as administration, employee benefits, royalties, finance costs to end up near the 48 million operational cashflow.
WSA Price at posting:
$3.76 Sentiment: None Disclosure: Held
