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Get your math right first.Currently coal price is $A500/t. This...

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    Get your math right first.

    Currently coal price is $A500/t. This equates to ~$A130/t royalty. Assuming TER's AISC is $A100/t, then cash margin is 500-130-100=$A270/t.

    If coal price falls to $A240/t, royalty will also fall significantly (to ~$A50/t), but AISC is not likely to change much. Cash margin in this case is 240-50-100=$A90/t. Still a pretty good margin IMO.

 
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