Based on the largest road train tipper with a capacity of 175 tonnes of material and Let’s assume it runs 365 days a year.
Assuming mine site processing is the same for both strategies by weight.
AVL Geraldton: (Transports account for 34% of the opex)
Approx 900,000 / 175 = 5143 Trucks required
5143 / 365 = 15 Trucks per day
15 * 550 * 2 (return trip to port via Geraldton)
= 16,500km per day
TMT **anintha:
13,000 V205 plus 150,000 tonnes ilmenite….Iron ore as waste listed.
163,000 / 175 = 931 Trucks required
931 / 365 = 3 trucks per day
3 * 550 * 2 = 3300km per day
3300 / 16500 = 20%
Unless you can prove to me that the iron ore is going to provide over 80% of the revenue over he combined (V205 and illmenite revenues)
The on-site mining and processing strategy requires 80% less trucking. Throw the iron ore back in the pit. TMT has already demonstrated that exporting 1.5 million tonnes per annum was going to cost $120 US per tonne so exporting 900,000 tonnes the costs will be higher.
As I said before the iron ore is worthless unless it is at all time highs.
AVL Price at posting:
1.6¢ Sentiment: Buy Disclosure: Held
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