Welcome To The Inspiration Mining HUB On AGORACOM
The company is exploring for nickel deposits on its Langmuir property near Timmins, Ontario; for nickel-gold-copper on its Cleaver and Douglas properties; and for molybdenum and rare earth elements at recently acquired Desrosiers property.
Message: Langmuir Potential With NI @ $11/LB
The following two sets of tables compare the potential that exists at Langmuir given the Micon report of January, 2010. In January, NI prices were $8/LB. Now NI prices are over $11/LB. These tables assume "Open-Pit" mining methods and project the potential given that 10M Tonnes of ore have been indicated, but the potential for 20M to 40M additional tonnes exist. What I am trying to illustrate here is the difference in potential profit and how sensitive the economic viability is to the price of Nickel. One has to realize that these tables outline the "potential" and are meant to provide a very course guideline as to what that potential of Langmuir may be. I have not adjusted the Micon estimates in light of the very promising news posted by ISM last week.
| Nickel @ $11 USD/LB: | |||
| Low Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 55% | 5531350 | 16500000 | 27500000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 75.0% | 75.0% | 75.0% |
| NI/LB | $11.00 | $11.00 | $11.00 |
| Total LBS Of Nickel | 28,064,687 | 83,716,875 | 139,528,125 |
| Net Smelter Revenue | $308,711,558 | $920,885,625 | $1,534,809,375 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $16.00 | $16.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $141,049,425 | $420,750,000 | $701,250,000 |
| Cash Flow | $167,662,133 | $500,135,625 | $833,559,375 |
| Yield LBS NI/Tonne | 5.07375 | 5.07375 | 5.07375 |
| Revenue/Tonne | $55.81 | $55.81 | $55.81 |
| Cost/Tonne | $25.50 | $25.50 | $25.50 |
| Gross Profit (Less Capital)/Tonne | $30.31 | $30.31 | $30.31 |
| Gross Profit (Less Capital) | $167,662,133 | $500,135,625 | $833,559,375 |
| Yield/Share @72.4M Shares | $2.32 | $6.91 | $11.51 |
| *** According To SGS Report | |||
| Moderate Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 70% | 7039900 | 21000000 | 35000000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 77.5% | 77.5% | 77.5% |
| NI/LB | $11.00 | $11.00 | $11.00 |
| Total LBS Of Nickel | 36,909,316 | 110,100,375 | 183,500,625 |
| Net Smelter Revenue | $406,002,473 | $1,211,104,125 | $2,018,506,875 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $15.00 | $14.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $179,517,450 | $514,500,000 | $822,500,000 |
| Cash Flow | $226,485,023 | $696,604,125 | $1,196,006,875 |
| Yield LBS NI/Tonne | 5.242875 | 5.242875 | 5.242875 |
| Revenue/Tonne | $57.67 | $57.67 | $57.67 |
| Cost/Tonne | $25.50 | $24.50 | $23.50 |
| Gross Profit (Less Capital)/Tonne | $32.17 | $33.17 | $34.17 |
| Gross Profit (Less Capital) | $226,485,023 | $696,604,125 | $1,196,006,875 |
| Yield/Share @72.4M Shares | $3.13 | $9.62 | $16.52 |
| *** According To SGS Report | |||
| High Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 85% | 8548450 | 25500000 | 42500000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 80.0% | 80.0% | 80.0% |
| NI/LB | $11.00 | $11.00 | $11.00 |
| Total LBS Of Nickel | 46,264,211 | 138,006,000 | 230,010,000 |
| Net Smelter Revenue | $508,906,325 | $1,518,066,000 | $2,530,110,000 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $15.00 | $14.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $217,985,475 | $624,750,000 | $998,750,000 |
| Cash Flow | $290,920,850 | $893,316,000 | $1,531,360,000 |
| Yield LBS NI/Tonne | 5.412 | 5.412 | 5.412 |
| Revenue/Tonne | $59.53 | $59.53 | $59.53 |
| Cost/Tonne | $25.50 | $24.50 | $23.50 |
| Gross Profit (Less Capital)/Tonne | $34.03 | $35.03 | $36.03 |
| Gross Profit (Less Capital) | $290,920,850 | $893,316,000 | $1,531,360,000 |
| Yield/Share @72.4M Shares | $4.02 | $12.34 | $21.15 |
| *** According To SGS Report | |||
| Nickel @ $8 USD/LB: | |||
| Low Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 55% | 5531350 | 16500000 | 27500000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 75.0% | 75.0% | 75.0% |
| NI/LB | $8.00 | $8.00 | $8.00 |
| Total LBS Of Nickel | 28,064,687 | 83,716,875 | 139,528,125 |
| Net Smelter Revenue | $224,517,497 | $669,735,000 | $1,116,225,000 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $16.00 | $16.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $141,049,425 | $420,750,000 | $701,250,000 |
| Cash Flow | $83,468,072 | $248,985,000 | $414,975,000 |
| Yield LBS NI/Tonne | 5.07375 | 5.07375 | 5.07375 |
| Revenue/Tonne | $40.59 | $40.59 | $40.59 |
| Cost/Tonne | $25.50 | $25.50 | $25.50 |
| Gross Profit (Less Capital)/Tonne | $15.09 | $15.09 | $15.09 |
| Gross Profit (Less Capital) | $83,468,072 | $248,985,000 | $414,975,000 |
| Yield/Share @72.4M Shares | $1.15 | $3.44 | $5.73 |
| *** According To SGS Report | |||
| Moderate Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 70% | 7039900 | 21000000 | 35000000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 77.5% | 77.5% | 77.5% |
| NI/LB | $8.00 | $8.00 | $8.00 |
| Total LBS Of Nickel | 36,909,316 | 110,100,375 | 183,500,625 |
| Net Smelter Revenue | $295,274,526 | $880,803,000 | $1,468,005,000 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $15.00 | $14.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $179,517,450 | $514,500,000 | $822,500,000 |
| Cash Flow | $115,757,076 | $366,303,000 | $645,505,000 |
| Yield LBS NI/Tonne | 5.242875 | 5.242875 | 5.242875 |
| Revenue/Tonne | $41.94 | $41.94 | $41.94 |
| Cost/Tonne | $25.50 | $24.50 | $23.50 |
| Gross Profit (Less Capital)/Tonne | $16.44 | $17.44 | $18.44 |
| Gross Profit (Less Capital) | $115,757,076 | $366,303,000 | $645,505,000 |
| Yield/Share @72.4M Shares | $1.60 | $5.06 | $8.92 |
| *** According To SGS Report | |||
| High Estimate Of Langmuir | 10M Tonnes | 30M Tonnes | 50M Tonnes |
| Tonnes In Resource | 10057000 | 30000000 | 50000000 |
| Expected Reserves @ 85% | 8548450 | 25500000 | 42500000 |
| Average Grade | 0.41% | 0.41% | 0.41% |
| Metallurgical Recovery *** | 75.0% | 75.0% | 75.0% |
| Smelter Accountability | 80.0% | 80.0% | 80.0% |
| NI/LB | $8.00 | $8.00 | $8.00 |
| Total LBS Of Nickel | 46,264,211 | 138,006,000 | 230,010,000 |
| Net Smelter Revenue | $370,113,691 | $1,104,048,000 | $1,840,080,000 |
| Pit Cost/Tonne | $4.50 | $4.50 | $4.50 |
| Underground Cost/Tonne | $35.00 | $35.00 | $35.00 |
| G&A | $3.50 | $3.50 | $3.50 |
| Milling/Tonne | $16.00 | $15.00 | $14.00 |
| Env/Tonne | $1.50 | $1.50 | $1.50 |
| Total Mine & Mill Costs | $217,985,475 | $624,750,000 | $998,750,000 |
| Cash Flow | $152,128,216 | $479,298,000 | $841,330,000 |
| Yield LBS NI/Tonne | 5.412 | 5.412 | 5.412 |
| Revenue/Tonne | $43.30 | $43.30 | $43.30 |
| Cost/Tonne | $25.50 | $24.50 | $23.50 |
| Gross Profit (Less Capital)/Tonne | $17.80 | $18.80 | $19.80 |
| Gross Profit (Less Capital) | $152,128,216 | $479,298,000 | $841,330,000 |
| Yield/Share @72.4M Shares | $2.10 | $6.62 | $11.62 |
| *** According To SGS Report |
2 Recommendations
Loading...
Loading...
New Message
Please
login
to post a reply