I'm a little busy so wont go into too much depth with this post, but maybe another poster that has some time can do a better evaluation between the 2 projects.
Anyway, GRR has released its Pre-feasibility results for its 10mtpa magnetite concentrate production project.
It's interesting to compare CAPEX for the 2 projects, one is a 35mtpa DSO project (SDL) the other a 10mtpa magnetite concentrate production (GRR), yes it is a different product and iron ore prices for each product are different, though initial start up costs shouldn't fluctuate too much.
SDL $4.8b capex - Cameroon - 35mtpa - 2016 production GRR $2.6b capex - Western Australia - 10mpta - 2014 production
It would be interesting to get some opinions on how the SDL capex compares, as its a larger scale project, located in Africa and personally after reading the GRR pfs, i don't think that the SDL capex is too bad, considering that SDL is still working with engineers to reduce this figure (and GRR will continue to do their DFS which might vary their PFS figures)
Also would it be fair to say that magnetite concentrate would be fairly comparable to itabrite concentrate in regard OPEX cost and initial start-up costs (incl. concentrator).
Sorry this is just a very rough post, but maybe someone can add-value to it, thought id bring the topic up.
Disclosure - I also hold GRR shares, so I'm not basing the stock nor promoting it.. just comparing apples and onions! lol
SDL Price at posting:
36.5¢ Sentiment: LT Buy Disclosure: Held
