Woulfe Mining Corp WFEMF

Woulfe Projection Calculation

[Mark101]

OK, since everyone is trying to throw some numbers out there, I figure I would give it a shot …

Today APT price = $435/Ton

So,

435 x 25% = 108.75 (25% discount raw tungsten)

435 – 108.75 = 326.25 (raw tungsten/ton)

326.25 x 75% = 245.06 (WOF)

108.75 x 45% = 48.60(WOF)

245.06 + 48.60 = 293.66 (WOF/ton APT)

And,

326.25 x 25% = 81.56 (IMC)

108.75 x 55% = 59.81 (IMC)

81.56 + 59.81 = 141.37 (IMC/ton APT)

So, Brian is projecting 400,000 Ton ATP / year for 2013, so, 293.66 x 400,000 = $ 117 Mil / year

When we ramp up production to 1 million ton / year the profits jump to $ 293 Mil / year

And when we go to full production at 2 million ton / year the profits jump to $ 586 Mil / year

And all this does not include the Molybdenum deposit and what’s coming from the Muguk project and the rest of the land leases.

Have a great weekend everyone !

[Canon123]

While I would have shown the calculation diffrently I do come up with the same number of $117,450,000 for a full years gross revenue to Wof. About 65% should be net Profit. So at $75 million before tax profit that would equate to a  very substantial share price depending on the earnings multiple applied. There are no royalties or export taxes I believe Brian said but I assume

[junior_miner]

Despite what uniformed people on this board suggest, concentrate discount to APT is 20%. North American Tungsten realized yet another quarter proving this. And the long the tungsten prices remain high, APT plant's share is diminishing.  btw. you are mixing revenue and profit.

[Mark101]

Thanks for the response ... i did my calculations using a 25% discount for Raw Tungsten. I will do it again after lunch and i will add my clear revenue projection ... by the way, i'm not a professional in any way and you should do your own calculations.  

[dr_airtime]

New thread but see the "Woulfe Projection Calculation" thread from last week for references. Malaga gets 75% of Spot APT prices as they produce a concentrate that is 75% WO3. My calculations assume 100% APT as this is the purpose of the APT plant from the recent offtake announcement. Regardless, I have just assumed that Glanville's $375 LT price is conservative enough for analysts to

[dr_airtime]

Props to Junior_Miner for his bottom-up calculation. My previous post (follow thread) was only a bit more than a back-of-the-envelope top-down calculation, but I land at Sangdong NPV of $459M from top-down approach and Junior_Miner lands on NPV8% of $481m (see thread below) using a bottom-up approach.https://www.stockhouse.com/Bullboards/MessageDetail.aspx?p=0&m=30761398&l=0&r=0&s

[Majormac79]

Im pretty sure I heard Brian during the conference call say we werent doing any further share dilution for the purpose of debt financing this project   regarding statement Regardless I would say NPV5%/NPV8% range is $400-$500M. Divide by assumed number of shares outstanding after equity issuance for Sangdong Capex and that is your ultimate SP target

[junior_miner]

  Thanks dr and flow,   I did following corrections/refinements to NPV. Most of them are based on Sangdong valuation study.   - Capex: Whole contigency will be spent. - Corrected moly head grade, I had mixed up Mo and MoS2 grades. - Lowered W head grade to 0,41% - Set mining dilution to 12% (Scoping study had 15%, but they should be able to improve that) - Handled MCI share of APT