Undervalued Pre-Commercial Producer
As financial statements September 30, 2014.
Net book value of 407 MM
Dept of 257 MM with starting capital repayment in two years.
Now at 181 607 492 shares outstanding
Fair value estimate by the company to 267MM
Proven and probable reserves of 64.8MM tonnes
Value,
Worst scenario because of their finance problem would be 407MM – 257MM = 150MM
Fair value scenario according to the estimate would be 267MM
Do the math,
Worst scenario, 150MM divided by 181 607 492 shares outstanding = 0.82/share
Best scenario, 267MM divided by 181 607 492 shares outstanding = 1.47/share