Hi spid81 we all know you tend to make stuff up and then post...

Hi spid81 we all know you tend to make stuff up and then post around that narrative...Not willing to except how wrong you have been on others' stocks

Lets give this some substance...Where are the runaway costs going to come from...?

2016 5% cut off - OPEX - USD $292 Per tonne
2017 7.5% cut off - OPEX - USD $289 Per tonne
2019 10% Cut off - OPEX - USD $282 Per Tonne

Quality is a consideration in strip ratio.If a depositcontains low grade ore quality ore more of it must be mined in order to achievea return on investment. A higher grade deposit can support a higher stripratio. There is an inverse relationship between deposit grade and strip ratio.The higher the grade universally reduces the capex and Run of mine cost's

The ore reserve is based on37% of the tons of the measured and indicated....

Grade is more sensitive than stripratio....

Grade TGC (15% )

Strip Ratio 3.3:1

ROM Per Ton unit Cost US$ 3.14

Processing per Ton unit cost US$ 27.56

General formula

m x (r+1)/g + p/g

Where m is mining cost, r is strip ratio, g is grade & p isprocessing cost

Project A

ROM mining cost per ton unit US$3.14 x (4.4+1)=$16.95 per ton Rom /17.9%= US$94.69

Processing cost per ton unit US$27.56 / 17.9%= US$154

ROM Ming cost US$94.69 + Processing cost US$154 = US$248.69

1000 tons per day x 300 days x 17.9% x 90% recovery = 48,330tons

Revenue US$73,944,900

Mining and Processing cost ($248.69 x 48,330)= US$12,019,187

EBITDA US$61,925,713

Project B

ROM mining cost perton unit US$3.14 x (4.4+1)=$16.95 per ton Rom /15% = US$113
Processing cost per ton unit US$27.56 / 15 % = US$184
ROM Ming cost US$113 + Processing cost US$184 = US$297
1000 tons per day x300 days x 15% x 90% recovery = 40,000 tons
Basket price US$1530
Revenue US$61,200,000
Mining and Processing cost (297 x 40,000)= US$11,880,000
EBITDA US$49,320,000


Regards Croc