Roundtable Discussion; The Future of Mineral Sands. Watch the video here.
We don't have to accept it
Thanks Paddy - those comparison images are very impressive
Valuation: Dec’22E GBp25.8/sh target price implies 93% upside
We roll our valuation to Dec’22E and tweak our throughput and grade profile to mirror GGP’s release for our SLOS model. We continue to assume a subsequent block caving operation will be developed within the lower grade breccia zones, commencing production in 2029 (vs 2028 previously). We maintain our gold and copper price assumptions at US$1,850/oz and US$8,500/t respectively alongside a 5% WACC to reflect the tier-1 jurisdiction. This drives a target price for GGP of US$1.27b or GBp25.8 per share, based on our DCF model as well as a US$100m valuation for the remainder of GGP’s exploration assets, offering 93% upside.
That seems deliberately naïve
Obviously to anyone involved the figures of an MRE must have a very big influence on the 5% discussion
Bamps, In what form is that restraint?
Could GGP say to Newcrest “As a part owner of Havieron, so that our shareholders are fully informed as to the current situation, we are going to produce our own MRE taking into account all known and up to date relevant information”
Is this possible or is it forbidden for the junior partner to do this?
Does anyone know the definitive answer to this rather than just opinion?
Obviously Newcrest and GGP must still be talking about the 5%
I assume we will never know Newcrest's figure or GGP's but it would be very interesting to know
Would these become known if it goes to arbitration or will is still be totally confidential?
It would be great if GGP were to follow Bamps example and issue their own regular up to date summary of GGP assets.
We shouldn't have to just rely on Bamps reminding us
good post Tig
Two sells of 250,000
That seems more than just a coincidence
hydrogen, If the following is true
"If the parties can't agree by the revised date on the 5% then it goes to arbitration. GGP cannot refuse to honour the 5% though NCM can decide not to exercise their option."
Don't they have us over a barrel?
I would love to know that too
I think SD has an extremely difficult job
He has to preserve a good/friendly working relationship with Newcrest, without alienating them, upsetting them, annoying them but at the same time conduct a hard headed business negotiation in a gentlemanly way
It won’t be an easy ride to come to a deal that they are both happy/comfortable with, whilst preserving that good/friendly relationship.
I am absolutely certain he is better at his job than any of us would be and is aware of all the valid points mentioned on here and whether they are possible or not.
I agree Bamps - disgraceful - straight into my bin
But we need another HAD005 to give us a much needed boost
Crikey, that's just over 2 miles and 500 yards
Could SD be having a conversation but in more diplomatic terms along the lines of “SB, we are just as capable of producing an MRE as you are so please produce the MRE soonest, otherwise you force us in to publishing our own”
But does GGP have the right to produce their own MRE or are they not allowed as they only have 30% ?
I assume they have all the necessary information as that must be shared
lebugue-addick Can I have a link please where SD says this - I cannot find it in the latest proactive interview
In simplistic terms
Market Cap = £534 million
Assume 30% of Havieron = £480 million
5% of Havieron = £80 million
Do all the posts suggest Newcrest will offer around £80 million