GREY:MLKKF - Post by User
Comment by
24~Karaton Feb 12, 2007 11:21am
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Post# 12216263
RE: And the Winner is . . .
RE: And the Winner is . . .Hello, VENman,
The purpose of the chart is to illustrate that ML has graduated (in style, I might add) to a somewhat exclusive club, consisting of mid to upper tier poly-metallic producers.
That is not to suggest that there haven’t been a handful of better performers over the same time span. Those that have been better performers during that time are the ones that have had exceptional exploration success.
As to your musings whether anyone currently on board ML wishes they’d have jumped ship, I don’t think you will find that there are too many takers. Some of us bought heavily two or three years ago, and can now easily envision the scenario set forth below (from one of eraser05’s previous posts).
Base Case
Average Metal Prices
$1.53/lb Cu
$10.16/lb Mo
$7.50/oz Ag
After Tax IRR 51%
Pay-back (Years) 1.80
After-Tax NPV $426M @ 8%, $357M @ 10%
NPV/Share $6.35
Opportunity
Average Metal Prices
$2.50/lb Cu
$25.00/lb Mo
$12.00/oz Ag
After-Tax IRR 99%
Pay-back (years) 1.50
After-Tax NPV $1.78Billion @ 8%, $1.49 Billion @ 10%
NPV/Share $26.52