Agree with your post overall, but just a Finance 101 type quibble: There is no need to discount again on the quoted NPV per barrel figure. The Discounted Cash Flows (DCF) model, which produces the Net Present Value figure as a measure of project value, already takes the discount rate (aka 'required return') into account (compounding obviously - like an annuity) all the way through the project life cycle.
I'm sure you already know this and were thrown off by someone upthread raising the furphy. So bottom line is healthier for FAR than you figures suggest, (subject to your assumptions, and all IMO)
Cheers
Why Far is Undervalued., page-74
-
- There are more pages in this discussion • 34 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Add FAR (ASX) to my watchlist
 (20min delay)
|
|||||
|
Last
47.0¢ |
Change
-0.015(3.09%) |
Mkt cap ! $43.43M | |||
| Open | High | Low | Value | Volume |
| 47.0¢ | 47.5¢ | 47.0¢ | $9.995K | 21.23K |
Buyers (Bids)
| No. | Vol. | Price($) |
|---|---|---|
| 3 | 82233 | 47.0¢ |
Sellers (Offers)
| Price($) | Vol. | No. |
|---|---|---|
| 48.0¢ | 50000 | 1 |
View Market Depth
| Last trade - 15.00pm 27/09/2024 (20 minute delay) ? |
| FAR (ASX) Chart |