I get a little excited when i think about the future and DML and this is why...
Production Targets: - Annual production 35000MT - Annual production 77,161,000LBs (2204.6 lbs per MT right?)
Copper Price for purposes of this exercise - Price 2.50/lb
Production costs - 1.28/lb
Tax - 30% (though i think its slightly lower)
Profit before tax (77,161,000*(2.50-1.28) - 94,136,420
Profit after tax - 65,895,494
Earnings per share (i think we have 230,300,000 shares on) - 0.41
Share price at 8 multiple of earnings is - 3.27
Variables in the above are of course, the copper price, ability to meet production targets and costs. If we do we are in for a real ride. Lets hope. I have 175K shares so have some skin in the game here.
What i am struggling with is, do i take some profits now or not? It seems sensible but the way the company is being managed they just might release another resource increase the day after i sell. Or the growing list of influential supporters will continue to pump the SP higher... Its a nice problem to have!
DML Price at posting:
$1.19 Sentiment: LT Buy Disclosure: Held