OK we'll work with 57kt for the exercise - but of a matter of interest they shipped 5kt to China Minmetals in this 57kt in repayment of a Forward sale done in Nov18 so they don't get paid the silver content on that 5kt but do have to pay Varde for the royalty on it.
Anyway working with 57kt of concentrate at 162 g/t = 9234grams - now to convert grams to tonnes, you multiply by 0.0311(google grams to ozs silver, so you must use troy ounce-this is 31.10grams/oz)=296.91ozs. If you were to continue with the calculation then you would deduct the treatment charge of 3 ozs/kt conc = 171ozs(3*57) to give you 126ozs but the smelter then takes a further 20% charge so you are left with 101ozs that NCZ gets paid for by the smelter.
NCZ Price at posting:
25.0¢ Sentiment: None Disclosure: Held
