In most cases within Australia TC/RC costs are off site. Large contracts for TC/RC services are highly publicised, the Japanese-Korean benchmark for TC/RC services currently stand at something like $100 per tonne and 10 cents per pound. Deleterious elements will attract an additional penalty on those charges such as bismuth and arsenic. Bismuth is documented as being present in the Kanmantoo concentrates and perhaps accounts for the wide fluctuations in their TC/RC charges also perhaps some sort of back end deal their major financier Freepoint commodities whom has the offtake agreement and charges the TC/RC services accounts for some of the high prices who knows.
But using the Japanese-Korean benchmark for TC/RC services 2016 for clean concentrate a 23% concentrate (Hillgrove) would be 29 cents per/lb a 30% concentrate (Cudeco) 25 cents per/lb and a 95% concentrate (Cudeco) 14 cents per/lb which doesn't seem widely at odds with the fore mentioned report with slightly half of the contained metal for the 10 year life of mine being native copper. Sandfire resources TC/RC charges for their concentrate also stack up well against the Japanese-Korean benchmark.
CDU Price at posting:
50.5¢ Sentiment: Hold Disclosure: Held
