comparison to prc, page-7

Perhaps a better comparison is with NEC which also has undeveloped coking coal resources, similar tonnage to what BTU are aiming for. Very rough using a previous broker report that attributed 55% of their NEC valuation to coking coal assets and assuming BTU ends up with 250M shares would give ~A$0.35 using this valuation. Likely conservative given interest in NEC and BTU's current single project status. Would be cautious at these levels with placement pump and no detail regarding cost or project interest of the proposed transaction but looking at NEC could be a multibag if exploration confirms target resources.

See, for NEC reports,

http://www.northernenergy.com.au/investor/brokerreports1.html