Danakali ESG Framework
Capital and Operating Expenditure
FEED confirmed industry-leading capital intensity and first quartile operating costs
FEED development and working capital estimates¹,2
FEED operating cost estimates4
Metric
Plants, ponds, and mine development
Module I Module II
Metric
Module I
Modules I & II
US$130M
US$97M
Mining
US$77/t
US$73/t
Supporting infrastructure
Owners costs and EPCM
Contingency
US$80M US$37M
Processing
US$64/t
US$59/t
Development capital
US$56M US$41M
US$36M US$27M
US$302M US$202M
Water logistics
US$2/t
US$2/t
G&A
US$22/t
US$15/t
Mine gate cash costs
US$165/t
US$149/t
Working capital (including working capital
contingency)²
US$20M
Product logistics
US$73/t
US$73/t
FOB cash costs
US$238/t
US$222/t
Total capital
US$322M
US$202M
Capital intensity (excluding working capital³)
US$640/t
US$534/t
Royalties
US$20/t
US$20/t
Incremental Module Il capital intensity
US$427/t
Total cash costs
US$258/t
US$242/t
Source: DNK FEED results announcement, 29-Jan-18
1
Estimates have been compiled for the economic period of review (first 60 years of production)
2
3
Capital estimates are presented in real US$, June 2017 (rolled forward from US$, September 2015 used in DFS (ASX announcement 30 November 2015)), to an accuracy of ±10%
Working capital is calculated in reference to the delay from first production to cash receipt from product sales
4
Operating cost estimates are presented in real US$, June 2017 (rolled forward from US$, September 2015 used in DFS (ASX announcement 30 November 2015)), to an accuracy of ±10%
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