Ann: Half Year Accounts, page-42

I didn't get a chance to listen to the presentation today but thanks for that information.

Aus has been banging on about a 17% increase in production without a a material change in CoP. I was interested in how the move from 500 to 600tpa would affect the CoP (nominal).

At todays prices the additional 1200tpa will generate $78m in additional revenues and I was busy counting eggs and wondering how much of that gets left by the time you read the bottom line.

Currently Lynas has an annualised profit of around $120m and a PE of 15 should value Lynas at $1.9bn (or $2.70/share fully diluted). If the majority of Lynas NEXT revenues gets to the bottom line then $78m adds $1.1bn (+$1.50 to $4.20/share) to the MC of Lynas and it could approach the ASX100.

Obviously thats pie in the sky as Lynas is trading at $2.20 and not $2.70. Perhaps as the debt conversions occur (only 3-4 more to go now, we're averaging one every three weeks so should be finished by end of May) and the June Quarterly showing 1500t of production as well as another $50-70m knocked off the senior debt facility will move the SP towards $2.70 where I think it could comfortably sit at that time.

Lynas isn't a 5c speccie any more and crossing your fingers hoping for a ten bagger in a year won't happen but I think crossing your fingers and hoping for a 50% gain this year is a reasonable wish.