environmental license awarded, page-29

Lecram

I've thought the same myself from time to time and have held back but as someone always leaks them out I've decided to just post them as I see them.

Why hasn't the company released? Don't know but could make a few guesses and I do trust they are operating strategically.

It's environmentally based...always a topic that can inflame and it is really the prelude (even if a VERY IMPORTANT ONE) to the installation licence process which along with our upcoming JORC on reserves will activate the money from Blackrock and Bank Votorantim.

I'm more interested in the few holes on the western edge of the infill that we don't yet know assays on...they kept drilling therefore it's reasonable to infer it was worth drilling. The previous hole in that area had fantastic grades. If the new ones follow suit (which I'm expecting) it will mean that first few years of production is strengthened even further. For a production company ...which we are rapidly heading towards...that is of the essence. Also keen to see when we put in those equipment orders as that signals the start of the construction phase for me. We know it will be 10 months minimum from when they order the "oversized" Metso filter press plate so that starts the countdown to cashflow.

Rough sums: Stage 1 only (multiply by 4 when we get stage 2 up)

Volume of copper 26,145,204.0000
Volume of Gold 7,798.0000
Cu price per lb. 3.2650
Au price per oz. 1,240.0000
Interest charges 10% ? -5,800,000.0000
costs excludes admin etc -25,000,000.0000
shares on issue(includes options) 1,430,000,000.0000
cash receipts 85,364,091.0600
Earnings 54,564,091.0600
earnings per share US$ 0.0382
earnings per share A$ 0.0425
Less BR royalties approx A$/share 0.0416

So approx 4c per share cash flow possibly within 12 to 18 months...makes the share price look paltry, whatever PE you want to work on. All those other tenements just waiting to become stage 3, 4 etc.