Actually they used USD 920/t for 5.8% spod pricing in the scoping study release...... based on your USD 100/t premium for 5.8% over 5% that means they should be using USD 650/t in the calcs now. So roughly 30% lower.... yeah that's gonna hit the NPV pretty hard Mate.
Add capex and opex increases, crappy recoveries and debatable transport. And you have an NPV that's crunched big time. All will be revealed with the updated DFS I suppose....
The recent purchase of an additional 5% of the project is probably a better guide as to the value of the project. 5% for US$5m, equates to USD65m for AVZ's stake. About A$100m which is about AVZ's mkt cap right now. The market seems to have this one right for a change....
Smile and wave boys, just smile and wave......
AVZ Price at posting:
4.5¢ Sentiment: Sell Disclosure: Not Held
