using price100usd eps well over 1.50 per share

assume 5mill tonnes per year

price 70USD long term

costs 45 AUD

Shares + options currently 85mill only

Also assume we have an extra say 50mill shares on issue by time of production (capex purposes, even tho they can easily borrow and not dilute capital)

So: 70USD*1.13(currency) = 80 AUD revenue / tonne

80 AUD revenue - 45 AUD costs = 35 AUD/tonne

35 AUD * 5mill tonnes = 175mill

175mill * 0.7 (tax) = 122 mill net profit

122 million net profit / 135mill shares (ive added an extra 50 mill shares)

= 90cents per share!!!!

thats using a long term avg price of 70USD

If we use 100USD:

113 AUD revenue per tonne

113 - 45 AUD costs = 68AUD profit / tonne

68 * 5mill tonnes = 340 mill revenue

340 * 0.7 = 238mill

238mill/135mill = $1.76 per share EPS!

evenif we DOUBLE the share capital to 170mill shares

238mill net profit / 170mill = $1.40 per share EPS

If you give a PE of 10, you get $11.40!

ive DOUBLED the share capital!

Even if we go back to using the long term price of 70USD, we still get 90c per share EPS

PE 10 , we get $9

I dont know what kind of PE the market will give this outfit , but lets assume something between 5-10.

the stocks going for $1 currently, yet thats how much theyll earn per share in earnings with a price of 70 USD and 50mill extra shares. Even if you double the share capital and use a long term avg price of 70USD, our EPS will be :

122/170 =72cents per share

Whats the price doing at $1 only??

Goldsnapper was right in saying "if they get an infrastructure deal done with BHP, the share price will go to $7-$10"

I looked at this comment with doubt, but then I ran the figures.

My assumptions for pricing and future dilution of adding more shares could be conservative.

they did say long term theyre targetting 5 - 10mill annual production

So with 10mill production, and you can even triple the share capital, youll still get an EPS figure that is just completely out of this world.

im buying more for long term. dont care what happens

theres too few shares atm on register, which makes this company unbelievable!