As long as Zinc stays above US$0.52/lb not much to worry about...
Highlights of the Feasibility Report included:
- NPV8: US$1,034 Million (US$909M post tax*)
- IRR: 36.0% (35% post tax*)
- Capital Cost: US$514 Million**
- Large Scale Production: 3.3Mtpa Mine Rate/Production up to 200,000tpa zinc metal
- Site Cost: US$0.52/lb Zn (Payable, Net of by-product credits)***
- Mine Life: 14 years (open ended and with further inferred resources that could potentially be converted to reserves)
- Life of Mine Revenue: US$6,364 Million
- Life of Mine Operating Costs: US$3,025 Million
- Life of Mine NPAT: US$1,836 Million*
http://ironbark.gl/projects/greenland/citronen/
Based on the below article Citronen's time is probably soon!
Among others, major projects that could be brought into production in the medium term include Arizona Mining's $1.2 billion Hermosa project (95ktpa), Ironbark's $500m Citronen project in Greenland (up to 200ktpa) and the $890m Khnaiguiyah project in Saudi Arabia (80ktpa).
http://www.mining.com/last-hurrah-zinc-price/
Last hurrah or not still quoting :
Expect zinc prices to move lower, and we see an average of $2,850/t in Q4, just under $2,600/t average in 2019, and an eventual journey to around $2,100-2,200/t at the end of the [5-year] outlook period.
IBG still close to doubling it's money worst case scenario, plus asset too BIG to ignore...
Cheers
