Ann: Successful Completion of Southdown Project P, page-8

re: Ann: Successful Completion of Southdown P... Jag, where did you get the 6.3 million tonnes per year figure from?

The release says on the first page:
"at an annual production rate of 10 million tonnes of concentrate.'
then on the second page:
"replaces a 2008 estimate which was based on a mine with a significantly lower capacity and a production rate of only 6.8 million tonnes per annum."

So, real rough in AUD;

Cost of $70 per tonne - if there is more shipping costs, the customer will pay more, so I'm disregarding shipping. Also assuming that the cost in the release includes royalties.
Price between $115 and $160
10 million tonne per annum
EBIT of $450M to $900M
Minus a 30% tax rate:
$315M to $630M
If they end up spending $4 billion;
Annual return is 7.8% to 15.75%

Which ok IMO. Better than the bank for sure. But those calculations are very rough, and very sensitive to the cost, and the price - largely guesswork.

They seem more optimistic. They refer to "Positive NPV with favourable IRR" on the first page. I want to see their calculations.