The important stat is the market cap differential - CLQ is 17x AUZ (so share price little relevance in this context).
|
Column 1 |
Column 2 |
| 1 |
CLQ |
$647,562,444 |
| 2 |
AUZ |
$37,967,352 |
| 3 |
Circa relative valuation |
17.1x |
I don't hold CLQ, only AUZ.
Well I am sure there are many others factors for the differential - but here are some obvious ones:
Strategic Partners (always key) and Funding (Cash is King) and Development Stage
CLQ has strategic partnership with Penguin Mining with a A$81m placement and A$15m placement to Australian Super. CLQ currently had $89m in cash 30 Jun vs AUZ at $4.6m
CLQ is using money this quarter for early development activities and AUZ still primarily exploration/pilot plant, but Sconi could be in development (as fully permitted) from next Jun 18 (s.t. finance), noting strategic decision with two main assets.
DFS/DFS
CLQ $891mUSD to $1.23B USD (incl Sc) in PFS with DFS by Q4 17
AUZ Sconi A$273M (pre-tax) for only phase 1 - Sc only in Mar 13 PFS, with DFS due Q1 18 including phase 2 to include Co/Ni (and FID) - should usher in a big rerate but noting capex/funding requirements (and shares on issue).
Product and MOU/BOAs
CLQ pilot plant has provided products to off take MOUs and has first BOA (20% of off-take), AUZ won't have test product to potential customers until Nov 17/BOAs Dec17
ASX300
CLQ in ASX300
I also think AUZ is undervalued and due a rerate, and has some great news flow that may (like IMO) make that happen.
AIMO/DYOR etc
(20min delay)