undervalued, page-11

I think it's only a matter of time, barring any unforeseen disaster extracting the scandium. They have offtake arrangements in place, and while I think the aerospace opportunities are going to take a while, the fuel cell is hot to trot. Look how many data centres are being built. You can power your house with an amount of cells the size of a packet of tim tams. I suspect the demand for SOFCs will make the price of scandium (and SOFCs) soar so that they become a premium product for niche applications like remote mine sites and mission critical facilities.

We are 3 years off production with annual operating margin of $213m. Market cap of $32m. NPV @ 10% discount rate is $870m. Implied share price around $6. At 22c I think we are well compensated for project risk.