RE:RE:RE:RE:RE:Fortescue Thanks for sharing these comparables along with your comments on each.
I'm curious based on the data we have today for ST, taking into consideration that drilling to advance the project will require additional financing (like equity offerings) where this project/company could be valued next year.
I have seen many posters on this board predict $1 share price and beyond by EoY, however, I don't see any numbers to justify why?
Based on these comparables and what I have read in the Technical Report and the latest May Corporate presentation, a 10k ft overview valuation of ST could be something like:
Contains M&I 3.2 Billion lbs copper @ 0.35% cutoff, avg grade of 0.437% and if you're valuing based on comparables most of which were at stages far past ST at 0.05/lb, then maybe something in the range of $160M valuation could be derived.
I get that the data is old, needs to be updated, additional drilling etc.. which all costs $, should add value to the project, while adding dilution through issuance of additional shares. At today's fully diluted share count OCO is valued at $55M.
If you assume that the issuance of an additional 50M shares over the next couple of years, assuming favourable terms, that OCO meets all earn-in minimums, I could assume getting the project and enterprise value to $200M+ and the share price to $1 in 3+ yrs.
So while I see upside (and hence why I have owned Oroco for many years now), i'm trying to get a grasp of what everyone else's expectations are here and would appreciate others perspectives - ideally with some high level numbers to support their hypothesis.
Regards,
Sampo