I have noticed on the broker reports they all till have RVR down as earning $0 revenue in 2017. Obviously they will be early and beat this exectation.
I am also interested in trying to work out RVR profit margins and potential NPAT for the 1st 12 months prodction. Going on the DD presentation they have forecast 21.4kt Zn in 1st year of mine life. With a 0.18c/lb production cost. Using the current Zinc price with a 10% safety margin this equates to a little over $USD50M NP. I am not sure if the cash cost includes transport, smelting or other charges? Even so at the current POZ RVR looks outstanding value and this does not even take into account the other metals.
Has anyone elese done a similar exercise? This sounds way too good, surely I have made a mistake?
I am looking to buy more so leen to know everyones thoughts of forecast proit after the first 12 months from RVR. Any help appreciated.
RVR Price at posting:
23.0¢ Sentiment: Buy Disclosure: Held
