Below is an excerpt from the Breakaway Research report released today by MAU.
"Each iron ore project is different including variations in their degrees of advancement, size, ore quality, capex/opex and access to infrastructure. However, Breakaway Research estimates that on average, the market currently values early stage companies' resources at around A$ 0.50 per tonne of resource on an undeveloped basis."
I think 50cpt to be too high for magnetite ore, though the research paper by Breakaway is for MAU which is in early stage magnetite exploration.
I urge everyone to keep an eye on ACS to see just what price is offered for their resource. That will be a much better indicator of true value. As stated in my previous post, 391mt was valued at an average of $105m by 3 independent analysts. Using Breakaway's valuation, ACS should get $195m, which won't happen. More like about half that figure imo.
PDY Price at posting:
2.0¢ Sentiment: None Disclosure: Held
