In ground metal calcs

If you haven’t done it already, I looked at current prices to put Ni+Cu intersections in a gold context, and some possible economic cut-off grades.

In $ terms, 3% Ni + 2% Cu equates to about 12.5 g/t Au – about $434/tonnes contained metal. Not bad. Longhole open stoping at minimum width of 2.5 metres will cost you about $80/t depending on ground conditions etc etc. Process to concentrate, about $30/t depending on grades, throughput, metallurgy etc. Concentrate sale price usually 60-75% of LME price depending on grade etc.

So C1 OPEX could be about $110/t. Revenue could be about $262/t. That suggests that 3% Ni + 2% Cu is roughly 2.4 times an economic cut-off grade.

Of course it’s not that simple! But it gives you a rough idea of comparative in-ground metal values.