Thank you for your comments,
You say,
"Have to disagree there. Every box ticked, heading towards production, is de-risking the project. Of course, by how much ? …. Well that’s subjective."
I have no argument at all with your statement. But as I said in my post ,
"Pat mate, this Agreement is probably a very important negotiating tool for financial reasons, but it certainly has not derisked the project." And I stand by this statement.
You say,
"There will also be more eyes on the stock now…. I’m sure many will come to the realization that the current MC is quite cheap …. Particularly when considering the MST report last year (FV approx 57c back then)."
Now, if you want to use that old MST report (24 May 2021) to support your argument, lets do a few rough calculations.
At 24/05/2021 FV 57c per share
Shares on issue 700 million
At 4/07/2022 Shares on issue 1 billion
Therefore share price now is approx. 40c per share
Now take into account
"Urea pricing as per CRU forecasts. NB: Current spot price US$328/t (~A$424/t) is marginally above our model forecast of A$409/t in FY26"
Rubbery figures, I know, but they makes current share price based on these Assumptions to be somewhere around 30c per share, which is really not too bad.
However, I expect this to deteriorate considerably due to dilution. So be happy with 20c.
Just my thoughts. What do you reckon, CS? J L.
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