the next world class alumina refinery , page-39

Thanks Bigone...

To Massey Ferguson....yes I did crunch some numbers but not accounted for the 50% recoverable iron...opens a can of worms based on the assumptions you use...but what the heck lets put it out there..

Did some standard assumptions, 15% discount rate, assumed $600m raised at 10 cents a share to cover cost of refinery and working capital...2016 production start date....3 to 1 ratio for bauxite to alumina (ie for every 3 tonnes of bauxite produce 1 tonne of alumina)...

And then the bit that is key run different scenarios for 2B tonnes of bauxite (their target)....500k tonnes of bauxite and current JORC of 130m tonnes of bauxite (as if it is not going to increase significantly from here)...

Anyhow, for 2B tonnes of bauxite I arrived at a DCF value of $1.77...which is a forty fold increase on sp...

And of course this analysis assumes no value for ORD's other projects.....others hence may have a significantly higher DCF value for ORD on this basis...but as my numbers at least highlight for me....it is all about Laos...

Feel free to cruch your own valuation numbers and share...