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I have been looking at some figures relative to recent ASX...

  1. w27
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    I have been looking at some figures relative to recent ASX announcements by DVP
    The announcement of 11/10/23 gave a production rate of 850,00 TPA, at 4% copper equivalent.
    Net smelter return (NSR) is $386 per ton of ore.
    Cutoff is $100 a ton net smelter return. So, the cash surplus on average ore ought to be #286 a ton.
    The presentation to the AGM gives the new grade of the ore to be mined initially as 5.6%. My arithmetic says that the new NSR is $540 and the surplus is $440 per ton.
    These figures are, presumably, calculated on the current price of metals - copper about $8,000. (all the dollar figures are American, I assume.)
    Goldman Sachs are currently predicting a copper price in 2025, when we will be in production, of $12,000, and $16,000 by 2030.
    If we apply the $12,000 figure we get a NSR of $810.
    850,000 tons at $810 gives a figure of $688,500,000 per annum surplus. And these are American dollars so just over a billion Australian dollars surplus per annum. Now, I know that others will grab some of this along the way and there are all sorts of uncertainties, but it is food for thought.
 
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