Help me understand the basics and the risk of this business?, page-5

oh wow that is lazy but yes also effecient. Well done. Do not confuse ore reserves with mineral reserves. The mineral reserves are large at 4.7 billion ton but low grade relative to bhp/rtio/fmg hematite. Of the 4.7Bt only 10% will be economically recoverable as ore reserves - this is the maiden 473Mt ore reserve. And at 14.5% recovery this refines to 68.6mt at 67% fe concentrate. The plant produces about 2mtpa concentrate which means a 30+ life of mine for razorback.

A good comparison is the Fmg Iron Bridge magenite mine. 5.5bt mineral reserves. Of which 13% is 716mt of ore reserves. Of which 29% is 211mt of 67% feeconcentrate. Some better effeciencies at fmg....

random notes: i lost 15% on my investment on mgt by not selling early enough prior to prabolic pre pfs share price and subsequent crash. Also be aware that 67% concentrate can fetch massive preimums on the market and is the future for the steel industry as smelting is "greener". Asx grange resources reportedly sells their pallets at $400/ton. Massive future for mgt once it secures some offtakes and some hint of funding. I am buying back in once there is some indication of the aformentioned.