Ann: JWD Iron Ore Mine Update, page-10

Hey qc,

Obviously depends on a lot of factors and assumptions and using only fundamentals + similar companies P/S and P/E ratios.

Assumption:
- Current IO price of 200AUD
- 500ktpa from JWD @ 100% ownership
- 250ktpa from Yarram @ 50% ownership (500ktpa if they owned 100%)
- P/S of 2x and P/E of 4x as per similar companies
- 1.1b SOI after JWD move to 100%

SP with P/S 2x:
(750kt x 200/t) x 2 = 300m MC = 27.3c SP

SP with P/E 4x:
JWD and Yarram approx 15m NPAT each = 30m x 4 = 120m MC = 11c SP

So, fair value when all up and running should be between 11-27c. A big range, I know, but a lot of unknowns at the moment.

NFA, DYOR.

WG