RE: Metals6 Dec 2019 21:52
Plumbers, you can lease equipment so there's no Capex to get up and running. You've only got to look at the current wash plant to know they can quickly upscale production by installing a larger one. If any of you have watched gold rush, imagine Parkers wash plant and several of them, with large bucket diggers filling the plant 24/7.
In terms of company valuation, I'm also invested in another mine who's share price hit over 40p when the price of Vanadium hit a record high of $143 last year. They made $49M in 2018, boosted by high price of Vanadium. The share price has dropped since, but it's still in the low 20's now that Vanadium has dropped to $30.
So worse case we end up with a share price between 20-40p going it alone, once we've had a decent years profit. And the longer we mine, the more profit and naturally the higher the share price goes. The cost of buying that company goes up the longer we mine, which is probably why we'll see an offer sooner than later.
Our product sells for over $1000 profit per ounce, so our share price would be sitting pretty once our profits are in the tens of millions even without a sale.