$100 share price, page-377

good post. The look forward interest costs is likely to be higher than this.

the quarterly said net debt was circa $4.4b and cash on hand $0.9b. However, review of the quarterly call transcript indicates that $0.6b drawn down from an IO customer will be recorded as deferred income/prepayment in the accounts. The interest cost is unknown but the transcript mentions that the cost would not be too dissimilar to bond rates.

if we back out the $0.6b prepaid from an IO customer, then net debt would be circa $5b and cash on hand $0.3b.

that would give gross debt of $5.3b plus $0.6b deferred income. The HY advised its weighted avg int cost was 8.5%.

so as at 30/06/2024, total liabilities subject to interest would be $5.9b @ 8.5%

Then there was a $200m instalment payment it made to red hill as per a recent MIN ann. So the $5.9b grows to $6.1b

that gives look forward gross interest costs of $510m

Yep, yilgara fob costs plus freight and royalties would be higher than the IO realisation price. there will be rehabilitation costs as well it will need to incur once mining ceases later this year.

Pilbara hub would not be too dissimilar. Despite fob being $74, Quarterly advised the grade decreased to 57.2% from 58.1% in March qtr. moisture of 12% and discount of 18%. then you have sustaining capex as well

Unfortunately the lithium and IO price crunch has come at a horrible time