OK, new computer is up and running, lightning quick and super...

OK, new computer is up and running, lightning quick and super quiet... both unlike my postings. Also reckon I've cracked the code, whether or not Bruce knows it and is holding back or his tech crew haven;t worked it out yet?

Just thought I make a note of pricing assumptions in Bridge St latest report trying to pat anxious shareholders back to sleep for the journey. Their table attempts to goal seek Mar Qtr's US$704/t NMag con sales price via dropping ZrO2 and TiO2 content, and the value of monazite credits.... for which the table calculates $704 vs reported $702/t.


Anybody paying attention to the table instead of the commentary (looking at what they do, not what they say, which I know isn;t popular on this thread) should see straight away that Mar Qtr's Premium zircon price isn;t US$1750/t but ~US$1950/t minimum (ILU Mar Qtr sales for mixed ~60:40 premium:standard Zir was US$1873). Happy coincidence, this makes it an easy comparison to the DFS22 price assumptions which calculated a premium price of $1950 would convert into a NMag zir-con for KMS of $852/t as below.



Updating a table with the correct current Premium Zir price shows KMS is receiving 11% less than expected if the NMag con is only 37% not 39% ZrO2, and 17% less than expected if the Nmag con is at 39% ZrO2+HfO2 (keeping in mind the DFS said the ZrO2+HfO2 range was 38-45% with typical 43%???).



Table is verified against BrSt maths, the DFS forecast for 2024, and presents the expected actual pricing RHS columns. Explanation for lower than expected prices even after lower ZrO2 & TiO2 content and monazite credits might be related to even lower ZrO2 & TiO2 content and monazite credits, and/or higher treatment charges (ie lower payability) on account of the lower value in the Nmag con. ie ZIC processors usually have a fixed fee for processing, which becomes a higher percentage per tonne (lower payability) inversely proportional to the value in the concentrate? Maybe it's related to lower quality of the ZrO2, TiO2 in the ZIC (eg higher contaminants?)... don;t know, but something is going on and Bruce expects no improvement next Qtr guiding approx the same US$702/t.

GLTAH