Michael - you cannot blatantly come out with a post tax NPV as there are other factors to consider - best if you dont make vast assumptions on post tax NPV's when we dont understand the tax rates or tax breaks/depreciation VRC may be subject to operating in a different jurisdiction - Either way an IRR OF circa 70% is still very good numbers
Something else to consider
There is no unique relationship between the post-tax discount rate and the pre-tax discount rate which can be applied in all circumstances.
The reason is that cash flows will generally involve a combination of non-taxed return of
capital and taxable income. The composition of the cash flow is thus a critical element in determining what pre-tax discount rate corresponds to a given post-tax discount rate.
Because tax depreciation arrangements can vary between projects, there is no unique formula available for generating the appropriate pre-tax discount rate for a given post-tax discount rate.
Nonholders
You non0holders constant bantering IMO is rather unnecessary and disrespectful to those who have belief in the project being successful FROM A LONG TERM MENTALITY not to mention have their personal money at stake - its NOT necessary nor are people making wild pie in the sky price projections
Remember we are only at the beginning of the road to production cycle with PFS announcement, and just because some of the metrics may not have been to the expectation of others - the project initial numbers show a economically viable and robust project - " that is all this was intended to do - it was not the golden arrow to wealth - these things take time and i suggest those who sold were impatient holders, inexperienced trades getting their stop loss levels triggers by the pro's and trading houses they will move their finds around looking for the next announcement waiting - that is a function of share-markets today ( they are a pump, dump and manipulate space for gamblers and alike) if you trade more than twice a day you are more likely to have a gambling addiction because only 10% of traders make money and the rest get their money taken off them
And for those complaining about the price - look at a longer term approach
Perhaps it is high time we stop measuring ourselves against MNS why? because its causing alot of arguments and we can stand alone on our own merits now and to be fair its now ALL about BINDING OFFTAKES - If we secure these then the project will get the green light - Lets take our current MOUs off the table for now because they cannot be put into the equation until these firms commit 100% to BOA's - end of story my friends !!!
Last time I will mention this but we have verl low strip ratios and we have over 80% of our flake size in SJ/J/L category which commands higher basket price - as per PFS there are a number
NAMANGALE CONCENTRATE PRODUCES COMMERCIAL GRADE GRAPHITE OF 99.99% TGC PURITY - announced 17th November
Michael - this was announced separately before PFS release so not needed to accompany the PFS as market already had necessary information - also user test-work is continuing with a number of multi national groups HIGHLIGHTS
Tests by an independent German metallurgical laboratory confirm Namangale graphite flake concentrate produced battery grade graphite of 99.9% TGC purity !!!!!!!
End user test-work is continuing with a number of multi national groups
2017 will be the year for VRC to lock down the DFS and BOA's - Funding will come as it always does with a brownfield explorer, heading down the road toward production but as per the Video interview on VRC's website, SH commented when asked about CR's saying that we have enough money to last well into 2017 and sure CR will come probably June-July (my guess) as it will depend on DFS timelines and BOA announcements to coincide with DFS
Michael - Aside from that your opinions are welcomed however I would suggest you lighten up like other non-holders and also holders here who seem to want to have a dig at anything that goes against their investment - people are free to have their say as long as its constructive and 100% accurate -
Cheers and have a very merry XMAS to ALL of you
G101
(20min delay)