Ann: Pre Feasibility Demonstrates Profitable Low , page-4

re: Ann: Pre Feasibility Demonstrates Profita... With minimal knowledge, i would say it is an excellent result, particularly when you consider that IFE is only required to fund 10mill towards CAPEX - i.e. minimal expansion of share register, or possibly nil if debt funded.

also, given the majority of costs are to be used for Stage 2+ it also means that will save some CAPEX in the future.

IMO, the most important factor is that there is a very high demand for their product, as it is premium product, therefore we should have confidence in the margin being higher than quoted.

some simple figures: 2mt x $28 p.t. profit = $56 mill positive cashflow p.a.

subtract contingencies, taxes, 10mill debt finance (hopefully) etc, perhaps we can reasonably expect a net cashflow of say 30 mill p.a. bare minimum.

Not bad for a company worth $63!

Cheers,
Split