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7 Pages

Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?


Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?

Report summary

The Government of Guinea (GoG) have decided to withdraw the mining permit held by VBG, the joint venture of BSGR and Vale, in the giant Simandou iron ore deposit. Based on an estimated US$12.7 billion in capital, we estimate a valuation of US$2.6 billion for the deposit, with an implied 62% Fe Pilbara Fines FOB break-even price of US$75.6/tonne (2014 real). Though the deposit is potentially extremely profitable, there are considerable risks involved with the project.


What's included?

This report includes 3 file(s)

  • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance? PDF - 2.35 MB 7 Pages, 3 Tables, 3 Figures
  • Simandou Blocks 1 and 2 Guinea.xls XLS - 339.50 KB
  • Charts and Tables.xls XLS - 110.50 KB

Description

This Metals Insight report highlights the key issues surrounding this topic, and draws out the implications for those involved.

For industry participants and advisors who want to look at the trends, risks and issues surrounding this topic, this report gives you an expert point of view to help inform your decision making.

Our analysts are based in the markets they analyse and work with high-quality proprietary data to provide consistent and reliable insight.

We provide unique in-depth analysis of the metals supply industry so you can make confident strategic decisions.

  • Executive Summary
  • History of the deposit
  • Location and size
    • Figure 1: Detailed map
    • Figure 2: 62% Fe adjusted marketable reserves as of 01/01/2014
  • Costs and valuation
    • Table 1: Capital cost estimates (2014 real)
    • Table 2: Operating cost estimates (2014 real)
  • Potential bidders
    • Anglo American:
    • BHP Billiton:
    • Rio Tinto:
  • Who dares wins?

In this report there are 6 tables or charts, including:

  • Executive Summary
  • History of the deposit
  • Location and size
    • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?: Image 1
    • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?: Image 2
  • Costs and valuation
    • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?: Table 1
    • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?: Table 2
    • Vale and BSGR stripped of Simandou - does Africa's Pilbara have another chance?: Table 3
    • Figure 2: 2020 US$/dmt 62% Fe equivalent curve FOB seaborne export (2014 real)
  • Potential bidders
  • Who dares wins?
Requester's name : .............
Department : .............
Authoriser's Name : .............
Authoriser's signature : .............
Date : .............
Cost Centre : .............

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