KGL 1.04% 9.5¢ kgl resources limited

comparison of andash to jervois, page-5

  1. 14,355 Posts.
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    Onshow, if you want a broker guide on cash costs for Jervois, Intersuisse assume $1.25 cash costs per pound of copper net of silver credits. If this is accurate, then it should be significantly lower after allowing for gold credits.
    In case you are not familiar with the story, gold has not been included in the initial jorc resource because of insufficient analysing of drill material for gold, but will be included later.
    The historic drill results announced in May this year will give you an idea on how significant the gold credits will be.
    This will be very important in determining cash costs net of precious metal credits.
    I expect it would take a grade of around 1g/t, to bring cash costs down to near zero assuming Intersuisses numbers excluding gold.
    I am not saying I expect 1g/t gold-I don't- but it should be a significant grade so I do expect low enough cash costs to keep us all happy.
    For Burnakura they have $530/oz gold (including royalties) although I expect higher costs (around $600-700 and I allow $700) on the start up rate as it is a small operation.
    Once they expand the throughput rate I expect costs to drop.
    I have gone into plenty of detail in previous posts as to why I believe the cash costs for the heap leach will be very low.
    I allow $380 for now but expect lower.

 
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