• Macarthur Minerals Ltd. (TSXV: MMS, ASX: MIO, OTCQB: MMSDF) (“MMS”, or “Company”) is an iron ore mine developer with iron ore, gold and lithium assets across Australia and the U.S. Its flagship asset is the Lake Giles Iron Project, which is in Western Australia and had a Preliminary Economic Assessment (“PEA”) filed in 2019.
• Flagship Project Boasts Robust Economics: Lake Giles has a projected post-tax NPV@8 of $535 million, post-tax IRR of 21%, and a payback period of three years. The project is interesting given it is planned to produce two types of iron ore-bearing minerals, magnetite, and hematite. This allows the company to produce higher-quality iron ore (65%+ Fe content) considered attractive by Chinese steelmakers.
• Early Cash Flow Potential: Considering the hot iron ore prices, MMS has completed a mine gate sales agreement with Golden West Resources for 400,000 tonnes of iron ore for early production of export, to hasten ore revenue sales.
• Development Catalysts in the
26 Jul 2021
Macarthur Minerals Ltd. (TSXV: MMS) – Miner with a Superior Grade Project, Early Cash Flow Prospects and Strong Earnings Leverage
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Macarthur Minerals Ltd. (TSXV: MMS) – Miner with a Superior Grade Project, Early Cash Flow Prospects and Strong Earnings Leverage
- Published:
26 Jul 2021 -
Author:
Couloir Capital -
Pages:
35
• Macarthur Minerals Ltd. (TSXV: MMS, ASX: MIO, OTCQB: MMSDF) (“MMS”, or “Company”) is an iron ore mine developer with iron ore, gold and lithium assets across Australia and the U.S. Its flagship asset is the Lake Giles Iron Project, which is in Western Australia and had a Preliminary Economic Assessment (“PEA”) filed in 2019.
• Flagship Project Boasts Robust Economics: Lake Giles has a projected post-tax NPV@8 of $535 million, post-tax IRR of 21%, and a payback period of three years. The project is interesting given it is planned to produce two types of iron ore-bearing minerals, magnetite, and hematite. This allows the company to produce higher-quality iron ore (65%+ Fe content) considered attractive by Chinese steelmakers.
• Early Cash Flow Potential: Considering the hot iron ore prices, MMS has completed a mine gate sales agreement with Golden West Resources for 400,000 tonnes of iron ore for early production of export, to hasten ore revenue sales.
• Development Catalysts in the