Good points that highlight how conservative the DFS was & how much upside there still is on the $1.7B NPV. I expect when in production, costs will fall in line or even lower than the $281/t OPEX given by the feasibility study unlike West Australian peers whose actual OPEX blew out way past their estimates.
A big point to be aware of, the latest met testwork demonstrates overall recovery of 87%, however 77% was used in the DFS to be conservative. If the mine can deliver recoveries of 87%, this increases production from ~440ktpa to ~500ktpa, and will reduce OPEX materially.
You don't need to be in the data room to be able to tell that our friends in the DRC are in serious trouble with highest OPEX of peers, only to increase when transport costs are estimated accurately.
Not many other economic projects left, and FFX's project - a lowest cost quartile producer will be in high demand.
It is no surprise that the big players in the lithium game are falling over themselves to get a piece.
FFX Price at posting:
26.0¢ Sentiment: Buy Disclosure: Held
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