Re: pie in the sky calculations... My NPV (snezzer)
posted on
Feb 21, 2015 08:58PM
For sure. The driver of NPV net cash flows and timing. The sooner you get the cash the bigger the impact because of the less discounting due time lag and less risk discounting on the projected probabilty of what we will get per tonne in 20 years. The other factor is that there are large economies of scale in mining. A small operation mining a deposit is much more expensive per tonne then a large operation. Anything that reduces costs per ton increases NPV and vice versa.
... Been There