Appreciate your figures, thanks Karl. Do you have anything...

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WoodySpoon

9,370 Posts.

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04/07/22

01:39

Post #: 62347671
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Originally posted by Karl89: ↑

unfortunately I couldn’t find the post however will throw up some rough figures.

our 777 dump trucks have a max payload of 100t.
the trip to the satellites are equal to or less than 25kms, so 50km round trip.

those dump truck use approx 2L per km (averaged out empty / full payload)

you would be looking at approx 100L of fuel per round trip to the satellites. 100L x your $1.3 per litre price point = $130 per round trip

using your 1.3gt, 100t x 1.3G = approx 130grams of gold per round trip. 130gs = 4.5 oz x $1800oz gold price = $8100

fuel used per round trip to satellites = approx US$130
gold value obtained from 1 round trip = approx US$8100

disclaimer being trucks likely to run 90 to 100t per load, viper approx 20km from plant.
obviously there are additional costs that will eat into that $8100 however diesel costs are minimal even after increases in price! I understand more diese is used elsewhere however it’s an expense… not a reason to shut the project down.That $130 Obviously drops significantly with the short run to Morila pit.

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Appreciate your figures, thanks Karl.
Do you have anything similar to what the cost of running such a plant on diesel is?
It's gotta be one of the most significant cost inputs we have.

We were losing money before this diesel price spike.It's certainly not better with it.
Maybe our fuel use has blown out in rainy season...? IDK if it's not a doubling of our biggest cost input, then maybe I'm even MORE worried - as that comes with a known solution....

Anyway seems like there are a lot of factors that go into it transport diesel costs.
https://www.energy.gov.au/sites/default/files/analyses_of_diesel_use_for_mine_haul_and_transport_operations.pdf

But anyways seems atm it's just a matter of how much money are we prepared to lose at this point before a potential turn around.
After 300% dilution to get to this point - I'm after any reasonable solution that doesn't lose us money.

FFX Price at posting: 20.0¢ Sentiment: None Disclosure: Held
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0 Great analysis

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