According to the Energiser web site (http://www.energizerresources.com/projects/the-molo-graphite-deposit-.html) the "Company is targeting a production start-up in 2015, with an output capacity of between 50,000 and 150,000 tonnes per annum (tpa). Energizer’s technical partner DRA is designing the mine with three 50,000-tonne modules, where by the Molo will begin initially at 50 tpa, but can expand quickly to produce additional graphite as the market requires. "
and if we use medium (-80 to +100 mesh) at a value of $2500/t then
annually income should be circa $150m. Based on ease of extraction etc profit maybe $60m or $15m to MGY (assuming 25% ownership is retained).
Based on MGY shares of 300m (double current holding) Molo is worth some 5c/share and using a low PE of 6 then share value should be 30c. This ignores ER and other cost expenses.
Has anyone got any better guesstimates.
R1
Add to My Watchlist
What is My Watchlist?