china tungsten find, page-4

In my previous post I suggested $100B based on the China discovery. Adjusting my figures as we speak Kiddo, after reading the article in full (i thought $100B was too high). The Chinese discovery is actually 'proven' tonnage of Tungsten amounting to 1.06MT which equates to ~$47B.

THR Tonnage is in the vicinty of 13,100 Tonnes of Tungsten (as at Jan12 & only including 35% Total Tonnage) meaning that at a price of $17,000/T we are looking at:

~$222,700,000 worth of Tungsten. I havent even calculated Moly in this nor have I taken into account the higher grade which means more $$$.

Now, at say 70% Total Tonnage (deeper underground mining) we are looking at:

~$445,400,000

I can safely say that we are pushing a $1B enterprise when we include Moly, higher grades and JORC 274,000 of Gold which I havent even bothered to calculate.

Minus: Costs of setting up production ofcourse.

These are just rough numbers but we can all gather that the market cap is way below enterprise value.

Few facts to help you sleep at night:

T u n g s t e n
F a s t F a c t s
? Average grade of major
worldwide deposits -
0.4% WO3 (THR a tad higher than the average)
? China controls greater
than 75% of world
production
? China prohibits the
export of tungsten
concentrate (have cut exports by 15% per year)
? Strategic metal: military
applications
? Rare metal: 50 times
rarer than copper (love this point)
? Unique metal: physical
properties limit substitution