People should read the fine print in the HMX presentations...particularly in the section where they refer to JORC resources and the basis on which those resource envelopes were computed...
At this time...in 2014...the USD/AUD was 0.9; and USD prices for copper $7,000/t; and gold $1,324/oz...i have not looked at the rest of the commodities. In terms of % increase in prices, copper has gone up by $3,000, say 40%; gold $500, say 40ish% and the USD/AUD will add 20% to the lot.
What this means is (rough calcs in my head):
1 tonne of copper and 1 ounce of gold in 2014, would get you approx $8,300 USD, which equaled $9,200 AUD, in 2014
1 tonne of copper and 1 ounce of gold in 2021, today, would get you approx $11,800 USD and $15,700 AUD today
This type of change does wonders for NPV calcs...it tends to add directly to the bottom line, as the costs remain the same - its the revenue that increases...
The only thing i find staggering is that they have not made any advances toward getting some small scale contract mining operations on the go (similar to what CNB has done with their tailings) to: a) help generate some cash flow; and b) further explore around the areas where they have already found accumulations...Like we've seen at Kalman, the 0.5% Cu occurrences are punctuated with 20% Cu zones here and there. The only real way to effectively find the high grade (20% zones) is to start mining, collect detailed data on grade and mineral assemblage trends, find the patters and then shoot for the bullseyes...
