RE:Interesting price reaction to shareholder rights planjunior_miner wrote: Anyways, RTH should be much higher:
1. It's Zinc, lots of upside with metal prices.
2. Excellent after tax IRR of 30% with conservative/realistic metals price estimate.
3. after tax NPV $170m
4. low cost producer ($0.52/lb, offsite costs included)
5. payback 2.4 years
6. 180 mlbs payable Zn produced per year.
7. Financeable capex of $233m
Given the low liquidity of the stock it's not really shocking that one person selling decreases or increases the price significantly. Maybe someone needed to buy a new car? :P
Don't forget the NPV is based on about 1/3rd of the geographic footprint of the known high-grade mineralized zone in Zawiercie I/II. RTH can easily double their inferred resource just within this known mineralized zone without even considering the rest of the Zawiercie/Rotinko concessions (which we know is mineralized from historical Polish state drilling) or the Chechlo concession where 2 drill holes hit vertical breccia zones:
| Drill Hole Number | From (m) | To (m) | Intercept (m) | Zn+Pb
% | Zn
% | Pb
% | Ag
g/t |
| OLZ-224 | | 161.85 | 165.20 | 3.35 | 2.73 | 2.60 | 0.13 | 1.2 |
| OLZ-224 | | 253.80 | 256.80 | 3.00 | 6.33 | 3.02 | 3.31 | 24.2 |
| OLZ-224 | | 263.50 | 304.90 | 41.40 | 7.67 | 4.10 | 3.57 | 23.5 |
| OLZ-224 | Incl. | 269.50 | 288.50 | 19.00 | 12.41 | 6.42 | 5.99 | 40.7 |
| OLZ-225 | | 166.30 | 169.20 | 2.90 | 1.37 | 1.32 | 0.05 | 1.3 |
| OLZ-225 | | 208.10 | 214.50 | 6.40 | 14.24 | 5.21 | 9.03 | 11.9 |
| OLZ-225 | Incl. | 209.70 | 213.20 | 3.50 | 22.09 | 8.40 | 13.68 | 18.2 |
| OLZ-225 | | 239.05 | 242.50 | 3.45 | 6.60 | 6.07 | 0.53 | 13.4 |
| OLZ-225 | | 267.75 | 273.50 | 5.75 | 6.94 | 6.09 | 0.85 | 16.7 |
| OLZ-225 | | 292.50 | 295.50 | 3.00 | 5.98 | 5.64 | 0.35 | 7.5 |
| All diamond core holes were drilled vertically through the sub-horizontal mineralized |
horizons so intersections represent approximate true widths. Figures may not sum exactly due to rounding.
|
I think once Century closes down later this year you'll see a lot more activity in the Zinc space which should bring more attention to the junior space.