Price for metals sold in concentrate

[kransky]

What prices do companies get for metals sold in concentrate?

Say copper is $3.5/lb and is mined and sold in concentrate form to a smelter.. what % of the $3.5 does the miner get and what % does the smelter get?

same with Au and Ag etc etc... i guess it must depend on the % the concentrate is... but i would like more info on this as it stops me from confidently coming up with a value for a company like pna...

thanks

 

[jet328]

It is highly dependent on the individual concentrate & contained metals. eg. some concentrates are very good quality with little impurities which would get a higher price than one with lots of impurities that are difficult to remove
Best place to look is the company reports & its usually hidden away somewhere
eg.

http://www.tamayaresources.com/reports/download_ca.php?item=196

 

[rederob]

What prices do companies get for metals sold in concentrate?

Say copper is $3.5/lb and is mined and sold in concentrate form to a smelter.. what % of the $3.5 does the miner get and what % does the smelter get?

same with Au and Ag etc etc... i guess it must depend on the % the concentrate is... but i would like more info on this as it stops me from confidently coming up with a value for a company like pna...

thanks

Lots of factors:
Do they have an offtake agreement?
Are they hedged?
Have they locked in their treatment/refining charges?
How do impurities imact the refining process?
Are byproduct metals costed on LME spot or other prices?
Ultimately its "contained" metal that is "paid": So concentrate volumes need to be stripped back to metal content ony.