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Carbine Resources - Initiation Report February 2015

8 Videos - Feb 2015


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Summary - Initiation Report February 2015

  • Gold development Project in QLD.
  • Highly positive scoping study which could see Mt Morgan become one of Australia’s cheapest gold producers.
  • Interviews with management outlining the company’s performance and strategy.
  • TSI Analysis – Valuation, Investment and Risk Analysis.

TSI Analysis - Investment Analysis

  • Analysis of Carbine as an investment opportunity.
  • Identify the key catalysts for future share price growth.
  • Sensitivity analysis of factors that will effect our future valuation:
    • Capital costs;
    • Operating costs; and
    • Resource (size & grade).

TSI Analysis - Risk Assessment

  • Sensitivity analysis of key risk and the effect on our valuation:
    • Finance Risk;
    • Metallurgical Risk; and
    • Pyrite Off-take.

TSI Analysis - Valuation Analysis

  • Financial Analysis of Carbine to determine our base case valuation.
  • Discuss the key reason for the difference in our valuation and the current share price.
  • Explain reasons for the assumptions used in determining our valuation, including:
    • Commodity prices, mine life & production schedule, financing options as well as the potential upside in our valuation.
  • CLICK HERE FOR FINANCIAL SUMMARY

Operations - Operation – Mount Morgan

  • Key results of the Scoping Study included initial capex of $82m, operating costs of US$393/oz Au and 36,000oz Au p.a.  The project will also produce copper cathode and pyrite concentrate.
  • The historical Mount Morgan operation closed in 1991 because of high cyanide consumption due to excess soluble copper.  Carbine plans to selectively remove the copper before it passes through the gold CIL plant through an Ion Exchange – Electrowinning process.  Ion Exchange is used in over 25 operations globally including Rio and Barrick Gold operations.
  • There is significant infrastructure at Mount Morgan including water, power, transport infrastructure and a local workforce.

Operations - Environmental Legacy

  • Interview with Patrick Walta to discuss the environmental legacy at Mount Morgan.
  • The environmental legacy is 100% owned by the Queensland Government through the Department of Natural Resources and Mines.
  • The proposed development will assist the Queensland government in the rehabilitation process.
  • There is potential scope for the government to waive the usual state taxes and royalties associated with mining operations.

Operations - Why Mount Morgan?

  • Historical review of the Mount Morgan operation.
  • Why did previous owners of the project not potentially examine Ion Exchange technology.
  • How did Carbine identify the possible solution.

Management - Ask the Question - Executive Director - Patrick Walta

Interviews with Carbine's management to discuss the Scoping Study, the current work program (Pre-Feasibility Study) and Ion Exchange.

Management - Ask the Question - Chief Metallurgist - Rod Smith

Interviews with Carbine's management to discuss the Scoping Study, the current work program (Pre-Feasibility Study) and Ion Exchange.

All Videos for Carbine Resources - Initiation Report February 2015

Summary

Initiation Report February 2015

  • Gold development Project in QLD.
  • Highly positive scoping study which could see Mt Morgan become one of Australia’s cheapest gold producers.
  • Interviews with management outlining the company’s performance and strategy.
  • TSI Analysis – Valuation, Investment and Risk Analysis.

TSI Analysis

Investment Analysis

  • Analysis of Carbine as an investment opportunity.
  • Identify the key catalysts for future share price growth.
  • Sensitivity analysis of factors that will effect our future valuation:
    • Capital costs;
    • Operating costs; and
    • Resource (size & grade).

Risk Assessment

  • Sensitivity analysis of key risk and the effect on our valuation:
    • Finance Risk;
    • Metallurgical Risk; and
    • Pyrite Off-take.

Valuation Analysis

  • Financial Analysis of Carbine to determine our base case valuation.
  • Discuss the key reason for the difference in our valuation and the current share price.
  • Explain reasons for the assumptions used in determining our valuation, including:
    • Commodity prices, mine life & production schedule, financing options as well as the potential upside in our valuation.
  • CLICK HERE FOR FINANCIAL SUMMARY

Operations

Operation – Mount Morgan

  • Key results of the Scoping Study included initial capex of $82m, operating costs of US$393/oz Au and 36,000oz Au p.a.  The project will also produce copper cathode and pyrite concentrate.
  • The historical Mount Morgan operation closed in 1991 because of high cyanide consumption due to excess soluble copper.  Carbine plans to selectively remove the copper before it passes through the gold CIL plant through an Ion Exchange – Electrowinning process.  Ion Exchange is used in over 25 operations globally including Rio and Barrick Gold operations.
  • There is significant infrastructure at Mount Morgan including water, power, transport infrastructure and a local workforce.

Environmental Legacy

  • Interview with Patrick Walta to discuss the environmental legacy at Mount Morgan.
  • The environmental legacy is 100% owned by the Queensland Government through the Department of Natural Resources and Mines.
  • The proposed development will assist the Queensland government in the rehabilitation process.
  • There is potential scope for the government to waive the usual state taxes and royalties associated with mining operations.

Why Mount Morgan?

  • Historical review of the Mount Morgan operation.
  • Why did previous owners of the project not potentially examine Ion Exchange technology.
  • How did Carbine identify the possible solution.

Management

Ask the Question

Interviews with Carbine's management to discuss the Scoping Study, the current work program (Pre-Feasibility Study) and Ion Exchange.
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