Assuming capex has risen by 40% due to inflation, dividing $1.9 bn by 1.4 suggests a "normal" level of capex to be around $1.4 bn.
I am not suggesting that capex will fall to $1.4 bn by the time of FID but this gives an idea of the scope for potential reduction in capex.
For every $100 million reduction in capex, NPV would increase in the order of $90 million (at a discount rate of 8%) and project IRR would increase in the order of 2%.
DYOR and GLTAH.
Ann: TECH Project Feasibility Study, page-115
-
- There are more pages in this discussion • 350 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add QPM (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
3.3¢ |
Change
-0.001(2.94%) |
Mkt cap ! $83.18M | |||
| Open | High | Low | Value | Volume |
| 3.5¢ | 3.5¢ | 3.2¢ | $63.99K | 1.904M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 8 | 1161312 | 3.2¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 3.3¢ | 355816 | 4 |
View Market Depth
| Last trade - 16.10pm 21/06/2024 (20 minute delay) ? |
| QPM (ASX) Chart |