They would be the guys who know they have secured two great...

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Bundy_Too

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05/04/23

17:52

Post #: 67155295
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Originally posted by miningnut ↑

Would these guys be the ones that were responsible for doing due diligence on this purchase because they've got it horribly wrong - spent A$150mil+ and ended up with 'a pig in a poke' - absolutely impossible for them to trade profitably this year with probable treatment charges over US$600/t of 47% concentrate=1036 lbs gross =US58c/lb. When you take in the payability factor which is free metal to the smelter - the smelter is getting 17% of US132c(current zinc price) free in payability or US22.44c/lb - so the smelter is getting over 80.4c/lb out of the 132c zinc price or 61% of the zinc price - the producer in most cases has no chance of making money especially when the concentrate percentage is under 50%.
On production of 65kt of concentrate/quarter, the treatment charges for NCZ go from around A$22mil/qtr to A$58mil/qtr - good luck SS you're going to need it.

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They would be the guys who know they have secured two great assets at very reasonable prices and unlike NCZ they can finance the full potential of those assets.

NCZ Price at posting: $1.10 Sentiment: None Disclosure: Not Held
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