Desktop studies

Welcome To the Copper Fox Metals Inc. HUB On AGORACOM

CUU own 25% Schaft Creek: proven/probable min. reserves/940.8m tonnes = 0.27% copper, 0.19 g/t gold, 0.018% moly and 1.72 g/t silver containing: 5.6b lbs copper, 5.8m ounces gold, 363.5m lbs moly and 51.7m ounces silver; (Recoverable CuEq 0.46%)

Reply New Message

Prev Message Back To Forum Threaded View Next Message

MoneyK

Rank: Treasurer [?]

Points: 8673 [?]

Votes: 62 Score: 2.5 [?]

Your Vote:

Please Log In to Vote

Did you know? You can earn activity points by filling your profile with information about yourself (what city you live in, your favorite team, blogs etc.)

Desktop studies

posted on Dec 01, 2018 02:16PM

What numbers are you guys expecting?

1 point increase in the exchange rate increases the NPV by 75M

1 point increase in copper price increases the NPV by around 50M.

1 point increase in gold price increases the NPV by around 25M

The base case gives us a NPV of 513M with an exchange rate of 0.97, copper price of 3.25$US & gold price of 1445USD.

The long term exchange rate is set at 0.83, copper price at 3.00USD & gold price 1200 USD.

Therefore:

Exchange rate is up 15% compared to base case.

Copper price is down 8% compared to base case.

Gold price is down 17% points compared to base case.

513M + (15 x 75M) - (8 x 50M) - (17 x 20M) = increase of 385M

513M + 385M = 898M + 20% for starter pit not being wasted = approx. 1.1B

Without even considering other parameters (e.g. cost savings), I think the numbers should at least double.