To be fair other than knowing the counter parties there isn't much change between this announcement and the one made on 13th of December. Suggesting it resulted in the price rise is a bit naive.
Your explanation is far closer to the mark, plus I suspect some leftover insto buying as volumes have been quite strong this week.
As for the actual deal. Atlas announcement says they expect to earn operating margins of $15-20/t. If we use the upper end of that we can say that is USD$15. Costs to atlas might be c. USD$30-40/t for transport/shipping etc. If we work on DSO sales of USD$90-100 and work backwards that means we might be getting about USD$35-45/t. Mining and crushing costs are probably about $10-15/t depending on strip ratio. So we could potentially make anywhere between USD$20-35 as margins.
These are my estimates only and I could well be wrong. But based on that 100kt a month would net something like A$2.6-4.6m/mth.
Ann: Pilbara Signs DSO Mine Gate Sale Agreement, page-35
-
- There are more pages in this discussion • 23 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add PLS (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
$3.11 |
Change
-0.020(0.64%) |
Mkt cap ! $9.365B | |||
| Open | High | Low | Value | Volume |
| $3.07 | $3.13 | $3.05 | $43.80M | 14.14M |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 1 | 5091 | $3.10 |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| $3.12 | 45715 | 18 |
View Market Depth
| Last trade - 16.10pm 13/11/2024 (20 minute delay) ? |
| PLS (ASX) Chart |