A cap raise is on the cards but only after the sp reaches 7c...

A cap raise is on the cards but only after the sp reaches 7c plus. they need more money in the future to build more smelters..

Check out their site for the business plan. This will be a gem in the long term.

Here is some stuff from their website,

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Alloy Consult (www.alloyconsult.com) advise the average product-weight cash costs for HCFeMn last 5 years is US$1,042/tonne.

The financial analysis of the Study shows that the project has the potential to return a positive EBITDA of US$ 374.7 million over a 10 year period supporting an estimated Net Present Value of US$ 160.6 million, using an 8% discount factor. The project requires a modest start-up capital investment of US$66 million which is staged over 5 years, plus working capital and provides estimated returns supporting an internal rate of return of 55.6%.


http://www.gulfmanganese.com/

>

Those projections above are at current prices which are at 10 year lows. History shows prices two, three fold higher which should increase profits accordingly. With increase in demand now in battery technology and prices of lithium soaring alternative materials will be required to bring costs down.


So the big question is where do we see this stock in future predictions

37.4M pa @ $1.65kg
75M pa @ $3.30kg
112M pa @ $4.95kg

Tesla changed the price of lithium, they sure can change the price of manganese.