I have been wondering about the power supply and what gains there might be to make there. The original plan was for a BOOT contract for 6 1250kW diesel generators, 4 of which would operate continuously.
But the DFS did not say how much of the processing cost was attributed to power generation. Someone can jump in here if I have got this wrong, but according to back of my envelope diesel generation costs more than .30 per kWh. Kin's continuous use was to be 5 MW, which makes diesel generation the main component of the LOM processing costs - more than $100 million I think, assuming the price of diesel doesn't go through the roof. Say $13 million a year.
As I understand it miners are moving away from diesel to hybrid systems which can reduce costs considerably. For example, Resolute recently claimed they can reduce power costs by 40% by going to a hybrid system (
https://www.rml.com.au/uploads/7/2/0/8/72081691/1817105.pdf )
If the expanded reserve / mining plan extends the LOM then presumably the risk associated with diesel (price rises) increases and the benefits of hybrid systems are even greater.
Conclusion - revisiting the power supply has the potential to substantially improve the project economics and reduce risk, if I have got this right - there is a potential saving of more than the current MC.
(Definitely DYOR on this - my figure might be way off.)
- Forums
- ASX - By Stock
- Ann: Presentation to General Meeting
I have been wondering about the power supply and what gains...
-
-
- There are more pages in this discussion • 10 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add KIN (ASX) to my watchlist
|
|||||
Last
5.4¢ |
Change
-0.001(1.82%) |
Mkt cap ! $63.62M |
Open | High | Low | Value | Volume |
5.5¢ | 5.5¢ | 5.3¢ | $66.71K | 1.252M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
3 | 105989 | 5.4¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
5.5¢ | 181818 | 1 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
3 | 105989 | 0.054 |
1 | 383484 | 0.053 |
4 | 303282 | 0.052 |
3 | 85000 | 0.051 |
5 | 850000 | 0.050 |
Price($) | Vol. | No. |
---|---|---|
0.055 | 181818 | 1 |
0.058 | 249798 | 2 |
0.059 | 250000 | 1 |
0.060 | 155989 | 2 |
0.062 | 48000 | 1 |
Last trade - 15.31pm 03/07/2024 (20 minute delay) ? |
Featured News
KIN (ASX) Chart |
The Watchlist
TON
TRITON MINERALS LTD
Adrian Costello, Executive Director
Adrian Costello
Executive Director
Previous Video
Next Video
SPONSORED BY The Market Online