apollo, page-24

Thanks Kalimaya.

From a quick glance, the T/O of CRE coincided with the fall in SP of FML.

In March 2011, outstanding shares were 2.87b
In oct 2011, outstanding shares were 4.32b

So SP of 5cps in 2012 is equivalent to 7.5cps in Feb 2011 pricing using the same MC.

So in real terms, the MC of FML actually increased by 50% from last March.

Correct me if I am wrong,
For Laverton, Profit after $1250/oz cash cost for 175000 oz would be around $70m. With 3 year mine life, it is more or less the current MC of $220m. With such a high production cost, the SP of FML will move with the Gold price with a control point at $1660/oz.
Based on the above, may I suggest that the SP of FML would be 10cps if the Gold price is @$2000/oz.

If Peter Schiff is correct about gold price being at $5000/oz over the next few years, I am sure my username will lend itself to the SP.

Cheers


JIMO DYOR