you need to assign in ground value Saber.
Thats why I say there is real option value in the coking asset.
If you haven't watch this you should, excellent explanation of the inherent leverage of exploration or development assets.
http://www.sprottglobal.com/thought...-$15mm—will-command-a-$2-$3b-price-tag-again/
ie. for example lets say at Januarys coking coal prices a coal assets made zero dollars per tonne on 4 or 5 million produced. NPV is zero.
Price goes to 180 bucks they are making 80 bucks a tonne, the NPV increase is multiples of 10 X.
- Forums
- ASX - By Stock
- UNV
- coking coal assets
coking coal assets, page-4
-
- There are more pages in this discussion • 18 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)