Valinvestor. Your back! For someone who said they weren't going to post on this thread your spending a lot of time here. Something got you interested on this one more than the other 2,000 plus stocks on the asx?
40% increase of resource no good for you?
I would assume that financiers would be increased in bnds increased ability to repay debt. Increasesed volumes of product using the same infrastructure (train lines, workers facilities), lower operating costs per tonne. Of course the reserve amount will be much lower but bnd shouldn't be overspending on exploration (think you would agree with that one). They should be preserving cash. Even if bnd come out of a th and the ann is somewhat positive there will still be a long way to go.
They can come back later to properly determine what the commercial value would be of any additional resources.
On the opex question, you are right I am not sure what the total costs are. Cash fob was estimated at $59 but on top of that there will be royalities, cost of finance, ammortization costs etc. Would be most appreciated, if you could share what the costs on top of the fob costs come out to be. Think this would help a lot of us, here. I read that bhp only made $7 per tonne last quarter. So very tight.
I am not sure, though that financiers will be getting over bogged down on the current thermal coal price. Springsure is a 30 plus year mine and won't be in production until at least the end of next year and not ramp up into larger volumes a few years after that.
The big question (apart from when will bnd come out of their th and what "news" will they announce) is what will the longer term demand for coal be.
Saw an article yesterday in a Japanese newspaper yesterday where the major power utilities are planning to revitalize their aging coal power plants because it's much cheaper than gas and the public support against nuclear is to big to return it to the volume of power that it used to provide.
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