Prices and demand for Canadian resources are going to keep growing in 2011, fuelled by a “tsunami” of Asian investment dollars flowing into Canada, according to a Scotiabank
http://www.theglobeandmail.com/globe-investor/markets/markets-blog/commodities-ripe-for-further-gains-in-2011/article1845843/
The PA is based on metal prices derived from the Three Year Trailing Averages as follows:
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Nickel $9.08 per pound
Copper $2.92 per pound
Platinum $1,427 per ounce
Palladium $345 per ounce
Gold $944 per ounce
The stand-alone economics of the Eagle's Nest Ni-Cu-PGM deposit, based on the Assumed Metal Prices(1) are:
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- after tax NPV at a 6.0% discount factor of approximately $540
million;
- after tax IRR exceeding 20%;
- at current spot metal prices, the after tax MPV increases by
approximately 250 million and the IRR increases by an additional 5%
- initial capital investment estimated to be between $600- $625
million;