WE CAN NOW ADD A COOL $1 BILLION TO THE PFS VALUATION !!!The Brazil C&F price for MOP jut hit $360 per ton. That's $110 or 45% more than the PFS price of $250 which flows straight to the bottom line. But when we factor in the 15% or so drop in the value of the Real since the start of the year we can infer an increase of more than 50% in the NPV of the PFS from $2 Billion to over $3 Billion. (Assuming of course that prices hold going foreword)
Here below are the latest international fertilizer prices:
https://www.mosaicco.com/documents/20181102_Price_Dashboard_Exteral.pdf
I am not saying that Verde should be trading today at almost CAD$ 90 per share (US$ 3 Billion / 45 Million shares = US$67 x 1.31 = CAD$ 88 / share) but, instead, that we can now factor in a real and substantial increase in the degree of confidence for success and/or a significant decrease in the risk factors and uncertainties, especially when taking into consideration all the latest very positive news flow and near term visibility.
Perhaps the single most encouraging manifestation of the potential consequences of this very significant de-risking of the business is the recent meaningful stock purchase by Verde's CEO.
When looking at all this from a risk / reward viewpoint, I must honestly say again, now more than ever before, that I cannot think of any other company or investment that comes even remotely close to the opportunity and potential that Verde offers today at 80 cents or so and where I can now, finally, seriously contemplate the real possibility of a 100-bagger !