RE:NPV of RP2.0 exceeds current market capThere are more assumptions built into the NPV estimate than just zinc price, and some significant factors that aren't built in at all (such as development-cost inflation, production-cost inflation, and cost-of-capital). Feasibility Studies are fairy tales, and it's left to you to either (1) inject some reality before using them, or (2) swallow as is.
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Tree2tree wrote:
The NPV of $US156 million is already more than TV's market cap. And it's based on a zinc price of $117, so there's a wide margin of safety.. or additional profit.
And it will NOT be financed primarily with equity. TV is generating cash now and throughout the build period.