Suppose that one ton of alluvial ore contains 3 carats of rubies
and suppose that 3 carats are made up of:
-5% premium quality valued at ...........$150
-15% fine quality stones valued at ........$180
-the remainder valued at.......................$100
Total value of the one ton.......................$330
- x 1000 ton a day...................................$330,000
- x 365 days............................................$120,mil revenue p/a
- or say $60 million NPAT
-for say 1.65 billion shares (diluted), thats 3.6c EPS
-and @ a P/E of say 6 , that's 21.6c SP
Please note that this is IMO only and should not be taken as investment advice.
Unlike gold, rubies can be more variable and that much more difficult to guesstimate.
MUS Price at posting:
6.3¢ Sentiment: Buy Disclosure: Held
