Project valuation analysis
项目估值分析代写 PIOP Mines claims in its 2020 presentation that it will only produce 50 million wet tons per year and will not be able to increase
Forecasting the cash flow of Flinders mine's PIOP project, which produces mainly iron ore. Firstly，we have to forecast the price of iron ore, which Flinders mine company has shown in the presentation "Talking PIOP into production" in 2020 that the fee charged by PIOP Mine Co for accessing the infrastructure that allows BBIH to make a profit on its capital investment ($4,7 billion at the moment) Based on the mining plan for the PIOP project in 2020. The cost of infrastructure is forecast to be A$47 billion, with a forecast range of A$10.25/t - A$19.25/t, A$60/dry ton - A$90/dry ton based on iron ore price in 2022. (Flindersmines, 2020)
Combining the forecast price range given by flinders and the increasing trend of iron ore globally. 项目估值分析代写
I predict that the price of iron ore will be at $223 in the next 1 to 2 years. In the "PIOP Scoping Study results" released by Flinders mine in January 2020, a discount rate (WACC) of 10% was presented. Since the new report released in 2020 is very accurate. It is predicted that the discount rate (WACC) should be around 9%.
PIOP Mines claims in its 2020 presentation that it will only produce 50 million wet tons per year and will not be able to increase production incrementally. This is based on the upper limit of the total shipments before the cessation of mining. (Flindersmines, 2020) The capex for 2017-2021 at Flinders Mine is 2.302 million, 9.097 million, 1.984 million, 2.387 million, and 9.243 million, according to the annual report. The capex of the PIOP project is estimated to be about 2.3 项目估值分析代写
million based on the aforementioned information. The official website of the flinder mine estimates the mineral resources of JORC to be about 1.5Bt. While the annual mineral production is 50 million. The production period is equal to 1.5 billion tonnes divided by 50 million is 30 years. Pre-production capital costs, processing plant, pit to mill conveyor, tailings infrastructure. And other mine development capital costs are anticipated to total $3,648 million. The revenue is 50 million * $223 equals to 11150 million. The forecast cash flow is revenue -capex-operating cost + working capital+ PIOP reserve= 7853.201 million.