Ann: Cobalt Off-Take Discussions Advance and DD Update, page-45

Cobalt now at USD56k PMT after hitting highs of USD56.5k PMT during the week.
No too hard to work out what a successful deal would do to the sp.
Revenue would be around the GP due to copper and zinc credits so USD200M pa
Discount by 20% for political risk =USD160M pa
Discount for offtake agreement to fund working capital and/or life of mine by 20% = USD128M pa
Discounted cashflow for 5 years (life of tailings) at say another 20% and then convert to Aussie = project value of around AUD500M/1billion shares = 50c per share.

Only nine more trading days until we hopefully know if the deal has a green light.


Spozzie