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ARU Price

NdPr-Oxide Price

USD$73.02 Source: SMM Code: NdPr Oxide

13/09/2023

Project Economics

MINING AND PRODUCTION
Mine Life (years)38
NdPr Oxide (tpa)4,440
SEG/HRE Oxide (tpa)474
Phosphoric Acid (tpa 54% P2O5 MGA)144,393
PRODUCT PRICING
US$/kg NdPr Oxide price – offtake period 125.50
US$/kg NdPr Oxide price – LOM130.10
FINANCIALUS$A$
Capital Cost  
    Pre-production Capital ($m) 9951,394
    Contingency ($m) 140196
    Total ($m)1,1351,590
Revenue  
    Rare Earth Sales Revenue ($m/annum)587822
    Phosphoric Acid Sales Revenue ($m/annum)6591
Operating Costs  
    Mining Costs ($m/annum)(31)(44)
    Processing Costs ($m/annum)(138)(193)
    General and Administration Costs ($m/annum)(26)(36)
EBITDA ($m/annum)409573
KPI ANALYSISUS$A$
Operating Cost $/kg NdPr43.9561.60
Operating Cost $/kg NdPr net of P2O5 credit34.6448.52
NPV8 after tax ($m)1,6932,358
IRR after tax (%)19.319.3

Note: Numbers may not compute because of rounding.  Product prices during the offtake period refer to the first seven years of production when offtake agreements will include discounts and other contract mechanisms put in place to underpin project finance for up to approximately 85% of NdPr oxide production with averages calculated as the weighted average over the specified period.  Average revenue, costs and EBITDA are calculated as the arithmetic annual average following the anticipated two year ramp up period and excluding the final years of production from low grade stockpiles.

PRODUCT PRICING
US$/kg NdPr Oxide price – offtake period 125.50
US$/kg NdPr Oxide price – LOM130.10