| Standard Model | 10-Year Contracted Sales Model | ||
| Long-Term Price Case | $3,676/kg Sc2O3 | $0.99/kg TiO2 | $46.55/kg Nb | Long-Term Price Case | $3,676/kg Sc2O3 | $46.55/kg Nb |
| Project | Elk Creek | Project | Elk Creek |
| Payable Primary Product (Nb) | 168,861 tonnes (168,861,000 kg) | Payable Primary Product (Nb) | 35,180 tonnes (35,180,000 kg) |
| Payable Byproduct Metal (TiO2) | 418,841 tonnes (418,841,000 kg) | ||
| Payable Co-Product Metal (Sc2O3) | 3,410 tonnes (3,410,000 kg) | Payable Co-Product Metal (Sc2O3) | 947 tonnes (947,000 kg) |
| Shares Outstanding | 226,666,534 | Shares Outstanding | 226,666,534 |
| Market Cap | $95,993,277 | Market Cap | $95,993,277 |
| Average Annual Production | 7,220 tonnes FeNb (7,220,000 kg) | Average Annual Production | 10,923,113 kg NbEq |
| Recovery | 93.14% Sc2O3 | 40.31% TiO2 | Nb 82.36% | Recovery | 93.14% Sc2O3 | Nb 82.36% |
| LoM | 36 Years | Contracted Sales Model Term | 10 Years |
| Payable Product (NbEq) | 447,052,463 kg NbEq | Payable Product (NbEq) | 109,231,128 kg NbEq |
| True All-in Cost (TAIC) | $24.15/kg | True All-in Cost (TAIC) | $33.78/kg |
| Gross Revenue | $20,810,292,140 | Gross Revenue | $5,084,709,008 |
| Total Operating Cost | ($6,717,578,000) | Operating Cost | ($1,865,993,888) |
| Operating Margin (EBITDA) | $14,092,714,140 | Operating Margin (EBITDA) | $3,218,715,120 |
| Income Taxes | ($2,467,634,246) | Income Taxes | ($563,597,018) |
| Total Capital Cost | ($1,609,397,000) | Capital Cost | ($1,260,504,167) |
| Cumulative Net Income | $10,015,682,894 | Cumulative Net Income | $1,394,613,935 |
| Net Profit Margin | 48% | Net Profit Margin | 27% |
| Absolute Cost Structure (ACS) | 52% | Absolute Cost Structure (ACS) | 72% |
| MTQ Score | 0.9 | MTQ Score | 0.4 |
| True Value | $44.19/sh. | True Value | $6.15/sh. |
| True Value Discount (TVD) | 99% | True Value Discount (TVD) | 93% |
| Cash Flow Multiple | 10x | Cash Flow Multiple | 7.3x |
| Net Annual Cash Flow | $161,728,000 | Net Annual Cash Flow | $139,488,153 |
| Future Market Cap | $1,617,280,000 | Future Market Cap | $1,018,263,517 |
| Future Market Cap Growth | 1,585% | Future Market Cap Growth | 961% |
| Target | $7.14/sh. | Target | $4.49/sh. |
Notes: All Values in U.S. Dollars
NioCorp has signed a commercial sales agreement with Traxys North America. Under the agreement, Traxys is obligated to purchase 12 tonnes of Sc over the course of Elk Creek’s first 10 years of production. Additionally, 75% of the Elk Creek Project’s primary product, Ferroniobium (FeNb), is under contract over the first 10 years of production: thyssenkrupp (OTC: TYEKF), 50%; Commercial Metals Company, 25%
Fahy Capital Management is not an investor in NioCorp. We may, however, initiate a position in thyssenkrupp this quarter.
