RE: Invest with Logic - Buy KRN
Here is some highlights of post that can be a learning lesson:
I made my list
· No salt piles.
· No long term damage to the area.
· After plant done in 60+ years, take the building down and return it crop land.
· Less than 1% NaCl in product, Industry standard 4-6%. Not good for the crops or land.
· Round pellets that are great for air seeders and do not clog up the machines. Farmers really like that. Current product actually cuts the tubes.
· Already made pellets in office that they give away at farm shows from the wells on the property.
· Proven process. Used in Germany since the 80's. In Israel from the Dead Sea, they actual make carnallite first before turn into KCl.
· 6 Billion tonnes of KCl resources, 154 million tonnes mineable KCl. In the 'old days' a rule of thumb of the value of a potash company was $1 a tonne in the ground or $10-12 per minable tonne
· 18-24 month construction schedule.
· Easy to duplicate plans.
· Approx $200 Million dollars revenue in the 3rd year after plant construction.
· Can be done in increments (phases).
· No use of surface or potable water, other than startup.
· 43-101 compliant feasibility study done. Approx. 6 months to get complete detail engineering (included in the 18-24 month build).
· An industrial circuit is done in the other phase(s), huge upside.
· Mag. phase a bolt on add on for approx $100 million(pre-feas), another huge upside.
· Far ahead of any junior in possible the world.
- story hasn't changed significantly since the company founding. Just add details at each step up
· Someone could purchase the company out right for approx. $480 million ($20/share), Spend 600-800 million to do 650,000 plus what every extra circuit they want(100,000 KCl/Mg). Get a yearly revenue stream of 250 to 300 million dollars. Pay of all the debt in 3+ years. Unheard of in a capital insensitive project. That is far less than BHP has spent so far on the various purchase( Athabasca potash, etc) The money are spending on ‘pre-approval’ work. They could of bought the company and be producing KCl by now. I have no idea why the corporate development officers of various companies have not had their heads on a chopping block for ignoring it (presuming that they haven't talked to the company). Even if they don't want to buy or have a part of it, it would be in the best interest of any company at least to look at it. When this baby is actually out of the woods, I would really hate to tell my boss I did not even look at it.
As the personal vendetta that has been demonstrated time and time again make these opinions null and void.
An extremely simple calculation that even the simplest can understand
There is 6 Billion! (6,000,000,000) tonnes of KCl in the ground on approx 30% of the lease/permit.
I do not care how good or bad you think the company is, @ the HUGE discount of $0.10 a tonne for in situ KCl still gives the company a value of $600 MILIION Dollar value on the pure rocks alone. Normal discount it $10.00 per tonne!!
they have an additon 66% of the property to explore!!!
potentially $600 Million 3 times - $1.8 Billion in Rock alone!
That is not including the "real" price of the feasibility study
So you can take the petty vendetta and your shorting buddies that have on majority of trading days used the "buy at market close" (Q marker) to lower the closing price on most of the trading days: (define:
Please use some other board.
As "only" 5 staff including board members have work for Potash Corp. They have built potash mines upgraded all the potash mines. They have also engineered future potash Corp mines that are sitting in the headquarters.
As this again indicated that no research has been done. There is no value to any of these comments.
Read more at https://www.stockhouse.com/bullboards/messagedetail.aspx?p=0&m=31893902&l=0&r=0&s=krn&t=list#SIR2BuSKOXTE3Kdg.99