This assumption is wrong: Cost of production covered by sales,...

First 15 Last

Share
Profile

Follow
The paladin

888 Posts.

78

18/01/23

10:22

Post #: 65746946
Share
Originally posted by FiveBob: ↑

Aah this is good to see.
Cash is king and the king is cash and cash is being generated
Cost of production covered by sales, despite prices being 'the price of these trial shipments reflected the benchmark price at the time of signing up as offtake partners' so half (?)of current prices. Double that for todays prices.....
19,157 tons shipped via Townsville with >35% shipments in March Q (26,000t) then a further >70% shipments in June Q (45,000t)
Feedrates tested at 120tph! 'Minimal attritioning', steady state 95tph, design yields achieved at good grade which at 34.5% is exceptional. Oath! Like reading a this-is-how-you-do-it processing manual.
37,000t closing stockpile ore, 16,087 crushed ore, 10,558 tons on the drying pads ready to roll to Townsville end December so they've already mined and produced almost half of Q1 sales target with the full volume in stocks ready for treatment. Between that 37,000t and 16,000t (at 75% yield) and 10,558t on the drying pad at $300/t there's $21 Million in revenue lying around end December .
"Excess production capacity beyond 625,000t' off the smell of an oily rag, $31 million capex is peanuts

What's not to like. They're having a red hot go, I would expect to see their costs will be coming down as their volume ramps up too, and as they get a true handle on their operations and the various levers to tweak.

I wonder what its costing them to transport all this stuff from out Woop Woop to Townsville? There'd be trucking and rail companies lined up with their best ties on, licking their chops with glee and applying the pineapples I reckon. You get a sense of that in their comment that 'The future Stage 2 upgrade will be focused on investment in a bulk logistic solution to lower production costs".

Anyrate, they'll build up some cash and reserves to buy/accumulate/explore for other phosphate players or do other things, be good to see how they go.

Good work and good luck to the Centrex team. I will keep accumulating, this is a great punt with a solid base and prospects.

Expand

This assumption is wrong:

Cost of production covered by sales, despite prices being 'the price of these trial shipments reflected the benchmark price at the time of signing up as offtake partners' so half (?)of current prices. Double that for todays prices.....

They ended up being paid at $270USD a tonne on average. So its about todays pricing anyway.

Thionk some agreed at around 310 and some around 240 balanced out.
CXM Price at posting: 14.5¢ Sentiment: Buy Disclosure: Held
3 Upvote

0 Great analysis

Reply

Top Stories

NVO

Novo flags antimony and gold in the Pilbara – but does it need to step back?

ASX Market Open: Stocks slide as Trump tosses up attacking Iran directly | June 20

HotCopper Highlights for Week 25: 4DS Memory, Meeka & Sprott-citement

AL3

AML3D opens new facility in Ohio as US Defence strategy bears fruit

Friday’s HotCopper trends: Dreadnoughts's drill delight, Galan's beaut raise | June 19

Thursday's HotCopper trends: Second Amplia response, Race combo dosing | June 19

Listen: HotCopper Wire Podcast 014 – Abu Dhabi wants to buy our 'true' oil and gas gem

PIQ

Proteomics notches up as company launches PromarkerD into the US

Week 25 Wrap: Fed & BoE pause rates ahead of RBA; Santos-ADNOC, Oz tax reforms

PV1

Hydrogen tanker stock Provaris inks MOU with "K" LINE to provide advice

First 15 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

(20min delay)
Last 1.7¢		Change 0.000(0.00%)		Mkt cap ! $14.74M

Open	High	Low	Value	Volume
0.0¢	0.0¢	0.0¢	$0	0

This assumption is wrong: Cost of production covered by sales,...

Novo flags antimony and gold in the Pilbara – but does it need to step back?

ASX Market Open: Stocks slide as Trump tosses up attacking Iran directly | June 20

HotCopper Highlights for Week 25: 4DS Memory, Meeka & Sprott-citement

AML3D opens new facility in Ohio as US Defence strategy bears fruit

Friday’s HotCopper trends: Dreadnoughts's drill delight, Galan's beaut raise | June 19

Thursday's HotCopper trends: Second Amplia response, Race combo dosing | June 19

Listen: HotCopper Wire Podcast 014 – Abu Dhabi wants to buy our 'true' oil and gas gem

Proteomics notches up as company launches PromarkerD into the US

Week 25 Wrap: Fed & BoE pause rates ahead of RBA; Santos-ADNOC, Oz tax reforms

Hydrogen tanker stock Provaris inks MOU with "K" LINE to provide advice

Featured News

Featured News

This assumption is wrong: Cost of production covered by sales,...

Top Stories

Novo flags antimony and gold in the Pilbara – but does it need to step back?

ASX Market Open: Stocks slide as Trump tosses up attacking Iran directly | June 20

HotCopper Highlights for Week 25: 4DS Memory, Meeka & Sprott-citement

AML3D opens new facility in Ohio as US Defence strategy bears fruit

Friday’s HotCopper trends: Dreadnoughts's drill delight, Galan's beaut raise | June 19

Thursday's HotCopper trends: Second Amplia response, Race combo dosing | June 19

Listen: HotCopper Wire Podcast 014 – Abu Dhabi wants to buy our 'true' oil and gas gem

Proteomics notches up as company launches PromarkerD into the US

Week 25 Wrap: Fed & BoE pause rates ahead of RBA; Santos-ADNOC, Oz tax reforms

Hydrogen tanker stock Provaris inks MOU with "K" LINE to provide advice

Featured News

Featured News