SPX

0.00%

0.7¢ spenda limited

But what's the AISIC?, page-2

First 2 Last

Share
Profile

Follow
Session

1,481 Posts.

838

15/01/20

09:46

Post #: 42384672
Share

Originally posted by m0ngy: ↑

The problem with SPX's finds is that they are mainly deep, very deep.
Nice to have some high-grade au over reasonable intersections but not so good if you have to dig down multiple hundreds of metres to get it out.
Open cut mining is possible to about 150 metres depending on a range of geological factors. An AISC of around AUD 1100 /oz/au is about average for an open cut gold mine and provides a healthy profitability of another AUD1100 0z/au
That all changes when underground mining is needed. CAPEX skyrockets and the AISC is much higher. Profitability falls dramatically.
Very high grades in a large jorc centralised in a relatively small area are needed to make Penny North viable.
As for the CAPEX of several hundreds millions of dollars. Investors will be saying 'ok this may be profitable now with the high POG but in 5 years? 10 years? Younami itself was closed even though it still had high-grade gold when the POG fell.
The hope for SPX was for more shallow high-grade gold. A model where a mine starts as open-cut and generates cash that is then used to fund underground mining was seen as likely.
RXL have this model in mind over at Younami, high-grade au from just a metre down will generate a strong cash flow and pay for CAPEX.
But the SPX ann yesterday dashed near term hopes for that model. A couple of hundred metres underground is not open cut and the AISC will be very high. Short intersections very deep and even low grades do not help. Why mention 3m at 3.28 g/t at 174 m? Likely that will never be mined. It is mentioned for the uninformed but yesterday showed that investors are much more aware of the challenges SPX faces

My Opinion DYOR

Expand

It must be exhausting experiencing these whipsaw of emotions in such a small time-frame.

I don't think this game is for you my friend. Buy/held to Sell/not held in one day off the back of some mediocre results north of the primary zone.

There's already a back-log of results pending release and drilling to commence in about a week.

355k oz @ 13 g/t sounds good to me so far

SPX Price at posting: 8.7¢ Sentiment: Buy Disclosure: Held
22 Upvote

3 Great analysis

Reply

Top Stories

SKS

SKS Technologies wins US$90M award to supply power to international hyperscale data centre in Melbourne

BHP

BHP dips as WA nickel suspended after A$6B hit; losses eased by US CPI and forewarning

NIM

Nimy to raise $1.21M to explore 'newsy' WA targets

I88

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

AII

Almonty locks in govt agreement for tungsten oxide plant in South Korea

Week 27 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

IMM

Immutep reports strong response rate from immunotherapies treating carcinomas

MDI

Nanocap Middle Island Resources kicks off Barkly copper-gold drill run – a potential IOCG-style NT project

ASX hits all time high out the gate on Friday trades following bullish US inflation data

Bitcoin investors need to know the risks

There are more pages in this discussion • 29 more messages in this thread...

First 2 Last

Add SPX (ASX) to my watchlist

(20min delay)
Last 0.7¢		Change 0.000(0.00%)		Mkt cap ! $30.27M

Open	High	Low	Value	Volume
0.7¢	0.7¢	0.7¢	$2.428K	346.8K

Buyers (Bids)

No.	Vol.	Price($)
12	7142412	0.7¢

Sellers (Offers)

Price($)	Vol.	No.
0.8¢	4021727	13

View Market Depth

No.	Vol.	Price($)
12	7142412	0.007
19	11430609	0.006
15	11250000	0.005
7	19000000	0.004
2	850000	0.003

Price($)	Vol.	No.
0.008	3967266	12
0.009	3040487	6
0.010	8757561	16
0.011	4768514	4
0.012	3771718	7

Last trade - 16.10pm 12/07/2024 (20 minute delay)

SPX (ASX) Chart

But what's the AISIC?, page-2

SKS Technologies wins US$90M award to supply power to international hyperscale data centre in Melbourne

BHP dips as WA nickel suspended after A$6B hit; losses eased by US CPI and forewarning

Nimy to raise $1.21M to explore 'newsy' WA targets

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

Almonty locks in govt agreement for tungsten oxide plant in South Korea

Week 27 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

Immutep reports strong response rate from immunotherapies treating carcinomas

Nanocap Middle Island Resources kicks off Barkly copper-gold drill run – a potential IOCG-style NT project

ASX hits all time high out the gate on Friday trades following bullish US inflation data

Bitcoin investors need to know the risks

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News

But what's the AISIC?, page-2

Top Stories

SKS Technologies wins US$90M award to supply power to international hyperscale data centre in Melbourne

BHP dips as WA nickel suspended after A$6B hit; losses eased by US CPI and forewarning

Nimy to raise $1.21M to explore 'newsy' WA targets

Infini soars 50% as company reveals it could’ve just made uranium history – redefining what it means to be “high grade”

Almonty locks in govt agreement for tungsten oxide plant in South Korea

Week 27 Wrap: ASX hits all time high; CBA shares' two realities; US inflation hits 3% ahead of China plenum

Immutep reports strong response rate from immunotherapies treating carcinomas

Nanocap Middle Island Resources kicks off Barkly copper-gold drill run – a potential IOCG-style NT project

ASX hits all time high out the gate on Friday trades following bullish US inflation data

Bitcoin investors need to know the risks

Featured News

Buyers (Bids)

Sellers (Offers)

Featured News