RE:RE:RE:RE:RE:Lithium, Tin, and Cesium updates...A caution -- the absolute worst case is discovery of fatal geology. A recent example of this is PTM's Maseve, where all attempted mining methods failed to achieve economic head grade, despite the Feasibility Study saying everything was wonderful.
Variations of the approach you describe are sometimes used to crudely value exploration properties, but are not used for estimating production or profitability. In Canada, the provincial securities commissions forbid it.
Only a very small percentage of mineral deposits turn out to be economic.
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Jsaw44 wrote: I just take how much lithium they have in the ground, assume they'll only get 10% of it out, then assume 10% gross margins, then divide that over 25 years instead of something normal like 16, then subtract their current yearly losses and then you got what profits could look like as a worst case and they look really good for a company that has a market cap of 20 million