ann. out, page-49

Big vol today, news can’t seem to come faster enough.

While today hasn’t been a great day in the eyes of ST holders, I think long term we will see real value extracted from their SA coal mine projects.

If they can deliver what they promise, then just one mine alone will deliver us a P/E of 5 (before dilution of course).

2010:
50kt for H1 then 150kt for H2 = 1.2mt pa.
Margin: $8 a tonne.
Profit: 1.2*8 = $9.6m

2011:
150ktpm = 1.8mt pa
Margin: $8 a tonne.
Profit: 1.8*8 = $14.4m

They stated that in 2010 a further 3 mines may go into production so 2011 could be a lot higher (but then again management never delivers on time).

GL, still holding,