?h Maiden Ore Reserve defined at the Hardstaff Peninsula. ?h Stage 1 Mine Life of 11 years with a low strip ratio (less than 0.7:1). ?h Subject to approvals production expected to commence Q4 2013/Q1 2014. ?h Production of a pre-concentrate on Irvine Island averaging 40% total iron, with final beneficiation to a high quality concentrate in Asia. ?h Stage 1 production of 71Mt of pre-concentrate estimated to produce 40 Mt of final concentrate product generating revenue over the mine life of ~ A$5.6 billion (2011$). ?h Cash operating cost of A$63/t of final concentrate (excluding royalties). ?h Estimated capital cost of A$700 million for Stage 1 Hardstaff Peninsula. ?h Stage 1 estimated Net Present Value @ 12% nominal discount rate (??NPV12??) of $A710M. ?h NPV = $3.80/share ($3.40/share fully diluted). ?h IRR = 38% ungeared (Stage 1 only).
PLV Price at posting:
68.9¢ Sentiment: Buy Disclosure: Held