ArgonautArgonautArgonautArgonaut
  • About Us
    • Business Model
    • Regulation
    • Community
    • Jason and the Argonauts
    • Disclaimer and Disclosure
    • COVID-19 Visitor Requirements
  • Corporate Finance
  • Stockbroking & Research
    • Stockbroking
    • Research
    • Best Execution Policy
    • Administration Forms
    • Open an Account
  • Special Situations
  • News
    • Latest News
    • Morning Notes
    • Latest Research
  • Contact
    • Careers
      • Advisers
      • Graduate Program
      • Internship Program

Western Areas (WSA) – Reserves Required

    Home Latest Research Western Areas (WSA) – Reserves Required
    NextPrevious

    Western Areas (WSA) – Reserves Required

    By admin | Latest Research | 0 comment | 30 October, 2018 | 0

    Western Areas Logo

     

    Western Areas (WSA) released September Q results with 5.4kt Ni in concentrate and C1 cash costs of A$2.99/lb (before payability), broadly in line with Argonaut’s forecast of 5.4kt @ A$2.80/lb. Cash and receivables declined $7.7m to $164.3m after a ~$13m increase in capital works and exploration, including $4.4m on the Odysseus project. WSA recently released a DFS on Odysseus and formalised its decision to mine. Argonaut derives an uncompelling post-tax IRR of 12% applying a long-term nickel price of US$6.50/lb and 0.72 AUD/USD FX. At current milling rates Forrestania has ~4.5 years remaining mine life based on reserves. We believe the share price will come under increasing pressure if reserves are not replenished at Forrestania. Maintain BUY recommendation with a revised target price of $2.75 (from $3.40).

    To access our Western Areas report please log in under the Client Area Log In at the bottom of this page.

    Argonaut’s Client Area allows you to view delayed share prices, access Argonaut’s wealth of Research as well as create custom portfolios and set up company watch lists.

    If you would like to access our research please contact us to create an account.

    Perth:
    clientservices@argonaut.com
    +61 8 9224 6888

    Hong Kong:
    clientserviceshk@argonaut.com
    +852 3557 4888

     

    Google+

    No tags.

    NextPrevious
    • About Us
      • Business Model
      • Regulation
      • Community
      • Jason and the Argonauts
      • Disclaimer and Disclosure
      • COVID-19 Visitor Requirements
    • Corporate Finance
    • Stockbroking & Research
      • Stockbroking
      • Research
      • Best Execution Policy
      • Administration Forms
      • Open an Account
    • Special Situations
    • News
      • Latest News
      • Morning Notes
      • Latest Research
    • Contact
      • Careers
        • Advisers
        • Graduate Program
        • Internship Program
    Argonaut

    Argonaut | The Natural Choice in Resources.
    © 2022 Argonaut.

    Corporate Finance
    Stockbroking & Research
    Contact Us

    Argonaut | Perth

    Level 30, Allendale Square, 77 St Georges Terrace Perth, WA, 6000 Australia

    clientservices@argonaut.com

    ABN 72 108 330 650

    Argonaut | Login

    Client Area Help
    Register for Access to Client Area
    Privacy Policy
    Financial Services Guide 
    Website Disclaimer

    Copyright 2022 | Website ⚡ by Start Digital