OTCPK:NNDIF - Post by User
Comment by
Bigbird999on Dec 21, 2015 1:48pm
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Post# 24401882
RE:RE:RE:RE:RE:RE:seems to be stabilizing
RE:RE:RE:RE:RE:RE:seems to be stabilizingAll in cost for a Greenfield elrectrolytic Zn plant is US$3000 per annuat tonne. So replacement cost of Valleyfield plant (265000 tpa) is ~US$750 million or 1 billion CAD. Property plant and equipment is on the books for ~20% (215 million CAD) of the replacement value. Note that this value includes the 866 acres of land at the 1960's acquisition cost of 15 million. Today the land alone is worth 10 - 20 30 - 50 (pick your own number) times the original $15 million acquisition price.
Inventories (concentrate and finished metal) carried at cost are $182 million CAD. Inventory alone = ~$3.60 per share.
So book value of PPE + Inventory = ~$400 million or $8 per share
Replacement cost + Inventory = $1.2 billion or about $24 per share
BB