My take on how the ore presales would work OrMy guess on this...

My take on how the ore presales would work
Or
My guess on this year and pre-payments

Version 2..


Rizhao port group

Prepaid $23M for 1MT

1MT/ 43,000T = 23 shipments. @ $1M per shipment

$1M/ say 43000t per shipment equals roughly $23 per tonne prepaid

Depending on grade/ ore price, there is still a lot more to be paid on those 23 shipments

At $130.00 a tonne that makes an additional $105M extra to be paid on those 23 shipments

These are most likely lower grade to start off with so will not command a premium


HSC

Prepaid $17.2M for 4 shipments.

17.2/ 4 = 4.3M

$4.3M / say 43000t per shipment equals roughly $100 per tonne prepaid

Depending on grade/ ore price, there is still a lot more profit to be paid on those 4 shipments

At $150.00 a tonne that makes an additional $8.6M extra to be paid on those 4 shipments

I would suggest that HSC want the cream, the 68% cream, hence the $150.00 a tonne.



Those 27 shipments could be completed by the end of Feb/ early March.


I have not tried to guess royalties, pre-payment discount, JV changes or freight. I have also just used Australian dollars.



Unknown Hong Kong entity, they may be Nice



Debt funding $24M. To be used for ??

Plv would need cash for the stage 4 seawall, Cockatoo drilling, Irvine enviro, Irvine DFS, ongoing infrastructure development, contingencies etc.

To be repaid ???





As you can see, it would seem that Cockatoo is robust financially. They may even make a profit this year [Insert sarcasm emoticon here]



Total CapEx and OpEx costs will not be known until the financials are released.




Lets hope that I got it right this time...



Cheers ..