some basics - sdl vs. fmg, page-62

Hi there,

Great answer, once again.

That was as I thought. The thing we have to be careful of (or should I say aware of at least) is that any forward pricing on commodity prices outside of five years into the future is going to be arbitrary at best.

So if they go with a very low figure, I am far more comfortable because much can happen in this timeframe

The mathematical likelihood of higher spot prices (from their projection) for SDL at point of sale is pretty good IMO, though a major unforseen event could easily change this.

In saying that, it is likely there will always be moments of higher prices, and there is always the opportunity with a project like this to slow or even stop production for a period of time to get maximum leverage.

Ah, the fun of investing in mining! It all becomes so much more interesting, and real when an operation like this actually moves to produce something.