bts, i firmly believe THR will rise another 20-30% on some positive news from the Chinese conglomerate successful acceptance of an offtake agreement and then push up to over $1 leading into first production in 2008. Any positive news from U mining I put as cream on top of this. Where that puts THR I have no idea at this stage but it means a price well north of $1.
Downside short-term risk is fallout for offtake agreement. But worst case scenario is THR have to go it alone and go to market to get cash for development of production facilities. All the figures are out there. Resource prices are far north of the prices used to specify a 4-year mine life with payback after 7 months. Have already defined extensions are present, I think we could see 2 or 3 times current reserve indicating possibly a 10 year+ mine life.
Whichever way you look at it, its worth more than its current price.
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