MOUNTAIN PEAKE - VALUE OF DIFFERENT ORES
No one at Railpage seems to have considered the implications of the values of the different ores, V, Ti and Fe. Suppose that their grades and values are (guessed) as follows:Indicated and Inferred Resource totalling 160Mt, grading 0.28% V205, 5.3% TiO2 and 23% Fe
* V 0.28% $10.00c per kg ($US8/pound)
* Ti 5.30% $4.80c per kg ($4800 per tonne)
* Fe 23.00% $0.15c per kg ( $150 per tonne, cheaper than bread or milk at $1.50/L)
By all means update these figures if you can.
All the costs of the haulage road are due to the Fe, which is of so little value that it might as well be dumped near the processing plant near the time. The processing plant is near the mine.
The weight of the remaining V and Ti is so small it could be carried to the railhead almost by helicopter. So no need for an expensive haulage road. The Pilbara mines and others can supply the Fe instead.
The investors will want to get it producing and bringing in returns as soon as possible and as cheaply as possible with a haul road, not have their capital tied up for years waiting on an expensive rail construction project. The mine is an open pit, so a quick start is possible.
is quite right.
Edited 5 times.