GREY:TRYRF - Post by User
Comment by
presto10on Mar 27, 2009 3:27pm
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Post# 15877785
RE: S
RE: SIf my memory serves the feasibility study had production costs of $300 oz, so let's make that $500. $900 - $500 = $400x 50,000 oz = $20M plus Sandstone contribution. They re still working on the iron ore though the tonnage and prices will be a lot lower than originally envisaged so any iron ore would be great in the short term. Value of the producing mill is ??? got to think it is $10m plus... so I think they'll need to raise a bit of cash and it would be nice to get that coverage. They need a champion of sorts because they're so undervalued right now you'd think they were some kind of base metals producer.
Don't forget that since that estimate of $80 million ($78 million actually) was done in 2008, the price of energy and the Argentine peso (?) would have come down a ton compared to the US dollar. Lots of miners are looking for work. You can be that $80M US has been brought down a lot after fx factored in and the deflation of energy, steel and labor costs. All in all, a very undervalued play with totally inadequate coverage, respect to Inka Kola!