I actually do not ascribe to those who easily disregard AN, I have also heard this a lot from Coop.
AN mine capacity could grow quite a bit over the next 3 years, especially with other ore bodies being able to feed. I am not an engineer but my research has led me to believe that growing AN is an option if the economics made sense.
This does not take away from the importance of PB, and the major re-rate that it will cause. However in this part of the copper price cycle, having a nimble steady operation has in my mind already severely helped mitigate risk. (The CR did this as well despite many protestations regarding the numbers of shares)
I like to think of AN as perhaps a Panther, where as PB is the Beast. Meanwhile let's not forget that we may also find the Monster with the size of the tenements we have. Not counting the JV opportunities!
I understand your points, and the pure valuations they derive re ore output, but nevertheless AN and its future satellite feeds do not make me feel 4 or 5 is a fair prediction. More like 7-10 at least in my humble opinion.
Gus
AVB Price at posting:
5.9¢ Sentiment: Hold Disclosure: Held
