Structural engineers will also want to see conformance and...

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stillconfused

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26/01/21

12:04

Post #: 50446333
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Originally posted by Ashentegra ↑

From the compelling economics of the 1 June 2020 PFS, we may reasonably conclude ADN's DFS will recommend proceeding directly to wet processing, likely at a larger scale than the PFS's 233kt pa.

The PFS put that cost at $84m, which could reasonably be contemplated with bank finance, perhaps a modest cap raise ~$10m for owners costs, admin, contingency, etc.

We all hope the Great White project scales larger than this. There are markets for more, markets that currently do not exist - as a concrete additive, nanotubes and on. Nor is there a firm transparent price for the output. Porcelain clay may be worth $700t, but what is the concrete additive worth?

Making concrete stronger - more robust bridges, slimmer building columns - translates into real money. Structural engineers are rational. They will do the maths and pay. This demand exists today and simply awaits production and output. $2000 a ton or $20kg is immediately possible.

I cannot value the higher uses.

Circling back to where I began, the capital cost will be higher, mostly funded by debt. I suspect the banksters will want to see some proprietor's capital and a capital raise. How much - who knows!

Ash

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Structural engineers will also want to see conformance and compliance certifications by regulatory bodies. I think there is a lot more involved than simply awaiting production and output. You don't appear to be factoring in years of testing and often repeating the same testing in different jurisdictions.
Don't misunderstand me..I don't think you're wrong, just underestimating the hurdles to be jumped and timeframes. AIMO

MEP Price at posting: 16.5¢ Sentiment: Buy Disclosure: Held
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0 Great analysis

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