yep nbrich, we had this discussion pretty in depth in the BRM...

yep nbrich, we had this discussion pretty in depth in the BRM thread ages ago

its IMPORTANT to know bcoz the SPREADSHEET ANALYSIS by vayama from memory implies that youre just buying the iron content which lowers revenue markedly and the margins

From what we gathered from memory, the price you get for lump DSO is for the QUALITY OF THE DIRT

This implies much higher margins than if you psy for the iron content

Any pricing experts out there???

HUNTLEYS in his report on AGO says they get the spot contract price for the DIRT not the iron content when calculating the DSO LUMP ORE revenue from memory. Hence the calculations and margins higher. Thsts a research report i read back in 2008 which showed how huntleys got the revenue , costs, EPS valuation etc.

But lets get in an pricing whiz or mining guys whom can confirm this yet again

Its crucial to know coz all your PRICING ANALYSIS and VALUATION ANALYSIS CHANGES

Inhave no position as yet