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Arianne Phosphate Inc V.DAN

Alternate Symbol(s):  DRRSF

Arianne Phosphate Inc. is a Canada-based development-stage phosphate mining company. The Company is engaged in the development of its Lac a Paul phosphate deposits located approximately 200 kilometers (km) north of the Saguenay/Lac St. Jean area of Quebec, Canada. These deposits produce an igneous apatite concentrate grading 39% P2O5 with little or no contaminants. The Company is specialized in the extraction of independent phosphate rock. The project is an undeveloped phosphate deposit globally. The Company’s phosphate is used in fertilizer production, preservatives, animal feed, fungicides, water treatment, the beauty industry, metallurgy, and advanced battery technology. The Company's subsidiary is 9252-5880 Quebec Inc.


TSXV:DAN - Post by User

Post by Marketplayon Aug 23, 2021 11:57am
292 Views
Post# 33748537

Arianne Profitability & RedCloud report

Arianne Profitability & RedCloud report The latest price for Arianne mine with a concentrate (+39%) is $185/t so, if in production today, we would have excess of $300M/yr. of gross profit.

300M$/year gross profit- debt (84M/year)= Net profit approx $216M/year
 
84M/year is the 1.2B @ 4.59% over 25 years (half capital and interest) at the beginning, then more capital then interest towards the end of the amortization period. (not sure how the debt will be paid back) interms of interest and amortization if  anyone has more details please share!

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RedCloud has submitted a report on Aug 12th for Arianne Phosphate (TSXV:DAN) with a
BUY rating and a C$1.50/sh target price.

"Poised to re-rate amid a rising phosphate market. We are initiating
coverage with a BUY rating and C$1.50/sh target price. Our target is
based on 0.8x our sum-of-parts derived NAVPS of C$1.86, which includes
a discounted cash flow model. Arianne trades at a discount to its peers
at C$0.99/t P2O5 versus peers at C$1.65/t P2O5, however, we believe its
favourable location and ability to produce a top-quality phosphate
concentrate should warrant a premium."
 
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