GoNuke, did you get a copy of the Alto Capital report on ATQ, dated November 2010? It carries out a detailed valuation on the three stages:
Stage 1: 400ktpa local production - 2011;
Stage 2: 1.5Mtpa feed for power station - 2014; and
Stage 3: 5Mtpa export - 2018.
Alto are assuming sale prices of $70/tonne for Stage 1, $65/tonne for Stage 2 and $100/tonne for Stage 3.
Once the 60% equity is taken into account, a discount rate of 12% applied, and it looks like a P/E of 4 used for earnings, Alto come up with a price of 55.7c per share, which is about where they are now.
So I think the next price increase triggers will be the start of Stage 1 mining, and then other company developments, as noted by Lefevre. I don't think Graeme Robertson is going to be happy with sitting back and waiting for the 4-year stages to roll around. 4 years is an eon on the stockmarket.
Good luck,
redfloyd
- Forums
- ASX - By Stock
- Ann: Investor Presentation
GoNuke, did you get a copy of the Alto Capital report on ATQ,...
-
- There are more pages in this discussion • 13 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
CC9
Chariot Corporation (ASX:CC9) refines Black Mountain strategy, launching Pilot Mine to seize U.S. lithium opportunity