hfr delivers smashing pfs, page-7

having a quick peek now at opex, comparing to a company mining 34% KCI, who have:

opex shaft underground mining, not deep:
$26/t vs HFR $50/t

opex processing:
$22/t vs HFR $45/t

I suppose the comparison is reasonable given the lower grade HFR ore

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however, re CAPEX

the other company has $80/t opex but their capital (CAPEX)intensity is $925/t vs HFR $358/t

HFR processing plant is $161M for 0.86MTpa or $188/t vs the other $658M for 2.1MTpa or $313/t

here is where I have big doubts

the other company has very high grade & very pure ore with <1% insolubles where as HFR has low grade ore with 18% insoluables

hard to believe HFR can construct a plant for $161M to produce 860,000tpa where as the company costs $658M to produce 2,100,000tpa

the HFR plant is costed at 40% less where as you would expect it to be 40% more due to smaller scale, the low grade & impure ore (need more processes)

anyway, it is the ASX, where companies can announcement whatever they want

regards