GREY:NATUF - Post by User
Post by
Amaladeon Apr 28, 2007 7:44pm
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Post# 12692395
Cantung mining cash flow
Cantung mining cash flowThe mine feasibility study- where can it be found? I saw their nice mining video, but the 28 Feb interim financial statement leaves a big question- why such a high cost for mining- no profit? ie. Tungsten sales 13mill- cost of operations- 13 mill- seems they produced about 52000 MTU of tungsten?It seems then the cash cost is looking like about 250 per MTU? What is their last quarter production looking like? Jan-Mar- say 72000 mtu of tungsten concentrate at a cost of 13 million gives a reduced cash cost per mtu of 180 per mtu - anticipated profit - Q2- 82.00/ Mtu or 5.6 million usd- projected to end of 2007- 16 million usd- 106.3 million shares = 15.5 cents per share. 7x multiple - 1.08 per share. Then the 10 billion Gross insitu metal value for their other Mactung deposit- gives them more upside. 4- years later this is a 7.00 stock.
So currently, the stock is probably valued correctly, with huge upside potential for the huge Mactung project. Other comments welcome. Things could be very very interesting long term for this giant Tungsten project. More DD required here.