OTCPK:CPPMF - Post by User
Comment by
BenVest99on Sep 30, 2010 10:08pm
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Post# 17515342
RE: RE: RE: RE: CEO buying
RE: RE: RE: RE: CEO buyingI agree also, the only way this would get to $6 in the next two months is if there is a take over offer or speculation that there will be one in the near term.
$6 to $8 as they start production is in the range of what I'm expecting. If copper is strong by the end of next year and production is in line with expectations, things could get really interesting. With copper at $4 and production costs at $1.30/lb, the would net $2.70/lb. We have about 0.8 pounds of copper per share, so assuming a target at 5 times free cash flows, this would give $2.70 x 0.8 x 5 = $10.80 / share.
There is a lot of "if" in this scenario, but chances of success are good here given that the mine was previously operated by the CEO, James O'Rourke, and Mitsubishi was also the client buying the copper concentrate back then. Everybody knows pretty much what to expect and this increases the chances of success IMO.
GLTA.