Medium Term Target: A$1+ billion market cap, page-414

Obviously difffcult to compare because we produce to many products from the same process but here are my quick calcs.

tldr: imo bang in the middle.



From the PFS we have OPEX as

	Area	Cost
1	Ore Supply and logistics	46.1	million A$/a
2	Ore processing plant	86.6	million A$/a
3	Sulphate refinery	12.6	million A$/a
4	HPA refinery	18	million A$/a

Now let’s scale up for DFS assuming that the ore supply scales with volume but the subsequent processing say scales by 75%. This gives us:

	Area	Cost
1	Ore Supply and logistics	122.2	million A$/a
2	Ore processing plant	172.2	million A$/a
3	Sulphate refinery	25.1	million A$/a
4	HPA refinery	18	million A$/a(HPA refinery no expected to be scaled)

With the scaled up plant we produce:

-15700tpa contained Ni

-1700tpa contained Co

-Other valuable by products.

1.Let’s start by ignoring everything except the Ni.

-1000x 15700 / 0.45 = 34.6 million lb

-Cost of $320 million

This gives us A$9.2 / lb = U$6.8 / lb

2.Now let’s consider that Ni sulphate likely to have approx. 25% premium. Given we are talking cost base let’s consider that we produce 25% more instead or it being more valuable.

This gives us A$6.9 / lb = U$5.1 /lb

This puts us up at the upper end, but remember that the Ni only accounts for about 50% of our revenue. Scaling point 1 by 50% gives us U$3.4 / lb placing us towards the middle of the chart.