SRZ 0.00% 2.0¢ stellar resources limited

Bill in Australia Heemkirk is one of the higher tin grade...

  1. 3,608 Posts.
    Bill in Australia Heemkirk is one of the higher tin grade prospects ,

    http://www.asx.com.au/asxpdf/20130219/pdf/42d3nj2v70lrh5.pdf slide 6

    It could be that at $12700it is in the lower quartile
    “The Heemskirk project is also expected to have a competitive cost structure with an estimated cash cost of production of US$12,780/tonne of tin. The International Tin Research Institute cash cost curve shows that Heemskirk’s estimated cash cost is half of the US$25,000/tonne long-term marginal cost of production. It is also placed at the lower end of the range for hard-rock underground tin mines.”

    http://www.stellarresources.com.au/index.php/heemskirk-tin

    http://www.bloomberg.com/news/2012-08-20/bear-market-in-tin-shuts-70-of-indonesian-smelters-commodities.html

    “Most smelters have closed,” said Hidayat Arsani, the president of the Indonesian Tin Mining Association. “The price just cannot cover the cost. Ideally, the price should be around $21,000 or $22,000 a ton. If this continues, we can’t work anymore.”

    It certainly looks competitive compared to Indonesia the second biggest producer.

    Harder to tell for China(the biggest tin producer) but with a supply squeeze likely that china will soak up most of its own production internally.

    http://minerals.usgs.gov/minerals/pubs/commodity/tin/mcs-2013-tin.pdf

    http://alphaminresources.com/china-tin-production-and-imports-rise-in-november/

    Think Stellar could ship the tin a long way but hopefully they will not need to.
 
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