Well the US$ POG is on a ' tear ' - up an extraordinary 1.57% to close to a new numerical high .... 2100 resistance looks tantalisingly close.
Of course the A$POG is up but 'only' a mere 0.87% to A$3103 - with key resistance of A$3200 (a new high) in view.
But this means that the cost of buying out those RED hedges just gets more expensive.
The cost = 285,047 x (3103-2551) = $157,345,944...... a takeover would have to pay out the hedging ??
285,047 over 3yrs = 95,015 oz per year .... assuming 215,000/yr production = approx 120,000 unhedged oz/ year for the next 3yrs.
For simplicity let's assume 50% hedged, and AISC 1800 & POG 3100 = margin on hedged oz's A$700, unhedged A$1300.
So rough FCF = 700x100,000 = A$70m + 1300x120,000 = A$156m ..... total A$226m per year till hedging closed.
From this debt must be paid down as first priority, then maybe some hedging, assuming no further unexpected costs ... but stuff happens in mining,
When fully unhedged then assuming all above metrics stay the same, then FCF = 1300x220,000 = A$286m.
Does this make KOTH such a cash cow that M&A will create 50c per share ... let alone $6 per share ???
- Forums
- ASX - By Stock
- $40 cents club
Well the US$ POG is on a ' tear ' - up an extraordinary 1.57% to...
-
- There are more pages in this discussion • 788 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add RED (ASX) to my watchlist
|
|||||
Last
36.0¢ |
Change
-0.010(2.70%) |
Mkt cap ! $2.448B |
Open | High | Low | Value | Volume |
37.0¢ | 37.8¢ | 36.0¢ | $9.825M | 26.88M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
18 | 1862724 | 36.0¢ |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
36.5¢ | 2312588 | 9 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
4 | 84542 | 0.360 |
17 | 576790 | 0.355 |
33 | 1675872 | 0.350 |
17 | 1054440 | 0.345 |
10 | 457066 | 0.340 |
Price($) | Vol. | No. |
---|---|---|
0.370 | 255012 | 3 |
0.375 | 166314 | 2 |
0.380 | 368323 | 9 |
0.385 | 440469 | 4 |
0.390 | 334266 | 6 |
Last trade - 16.10pm 28/06/2024 (20 minute delay) ? |
Featured News
RED (ASX) Chart |
The Watchlist
LU7
LITHIUM UNIVERSE LIMITED
Alex Hanly, CEO
Alex Hanly
CEO
SPONSORED BY The Market Online