Hi (Gecko5),
Agree with you, as I said this is a very simple calculation, a complete one will involve more parameters, to take into account, i.e PV, DCF, and Net Present Value (NPV), etc...
Again this is to show at the end of the day, that SP will be over $1 or $2 mark, and what make difference is the large scale and quality of the project.
Cheers - BS