The opportunity going forward25 Jan 2023 13:56
KOD DMS Plant:
Assuming Spot Spod price 5.5% = $5000
Life of Mine (LOM) = 4 years (to be extended)
Expected Spod production per annum = 130,000 tonnes
Estimated c1 costs = $436 per tonne
Expected LOM revenue = $5000 x 130,000 x 4 = $2,600,000,000 (£2.6bn)
Expected revenue per anum = 5000 x 130,000 = $650,000,000 ($650m)
Estimated c1 costs per anum = 436 x 130,000 = 56,680,000 ($56.68m)
Estimated profit per anum = $650m - $56.68m = $593.32m
Estimated market cap (assuming PE of 5) = $593.32m x 5 = $2.97bn
x0.445 (44.5%) = $1,320,138,000 ($1.32bn)
Estimated share price = Market cap / shares in issue = $1.32bn / 19.841bn shares = $0.0665....£0.054p
or 5.4p per share
@ full 350mtpa production you are looking at? 2.7x that..... 14.58p
Not inc any LOM upgrades, increase in SPOD (currently $6000+), or any of our Gold assets, some of which are close to maiden resource announcements.
plz check calcs in case of error, and discuss ; )