Peer value, page-7

First 7 Last

Share
Profile

Follow
PamplonaTrader

613 Posts.

421

20/02/17

11:31

Post #: 22744814
Share

Originally posted by Solarbat ↑

Excellent modelling @PamplonaTrader, but I disagree with the initial assumption that you've based it all upon - that BAR/CNJ will not pursue the $65 Mil low capex 2012 plan to focus on cobalt. It is that part which makes Mt Thirsty unique and valuable.

Their plan:

Build a cheap mine to get the majority of the cobalt quickly. Sure good to have extra 100Mil/year in Nickel revenue, BUT that they have stated that the mine can be upgraded later to get the remaining Nickel, and obviously a 65 mil mine is a lot faster to plan, finance and build than and 400-500mil mine. The directors are very aware of the need to meet current cobalt demand quickly.

Unlike other Nickel laterite deposits, Thirsty is unique in its oxidised nature, and that a lot of its cobalt sits very near the surface with the Manganese . These things mean that they can get it very very quickly and cheaply. This is their competitive edge, and why Thirsty will be one of the first to mine. They'll start mining while other Nickel Laterites are still years away.

Solarbat

Expand

That's not how mining works. You recover all the payable metals at once to maximize revenues and minimize costs.

Lateritic nickel deposits tend to be near-surface meaning most have an oxidized portion. Oxide type (limonitic) nickel laterites are not unique to Mt. Thirsty.

BAR Price at posting: 11.5¢ Sentiment: None Disclosure: Not Held
1 Upvote

0 Great analysis

Reply

Top Stories

ASX Market Close: Pretty boring day, but we're back in the 8,600s

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

BRU

Buru sinks -8% on adjusted Rafael Gas Project timeline aimed to 'reduce risk'

Unemployment expectations correctly called today's 4.3% rate

GDM

Great Divide 'rapidly evolving' into commercial miner with first Challenger pour

First 7 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

Peer value, page-7

Top Stories

ASX Market Close: Pretty boring day, but we're back in the 8,600s

Listen: HotCopper Wire Podcast 018 – Potatoes, TACOs, and the $120M helicopter heist

Buru sinks -8% on adjusted Rafael Gas Project timeline aimed to 'reduce risk'

Unemployment expectations correctly called today's 4.3% rate

Great Divide 'rapidly evolving' into commercial miner with first Challenger pour

Featured News