TSXV:AAA.P - Post by User
Post by
royalflush5on Jun 20, 2011 1:13pm
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Post# 18738869
Dundee?
Dundee?Rating & Recommendation
We continue to rate Allana Potash a BUY with a 12-month target price of $2.50. Our target price is based on a 12% discount to our NAV of $2.84/share, using a 17% discount rate; US$485/tonne blended (MOP & SOP) potash price; 1 million mtpy processing design capacity; and US$70/tonne opex.
So you place $2.50 on 105 mil tonnes. We get 6x the resource and your target remains $2.50.
Well a buyout offer then is the only thing that will help the s/p in the near future I guess. Otherwise, it's a waiting game until 2013