re: rather amazing story
However Chrome concentrates were only selling at USd60 per tonne (see USGS for historic metal prices). That was pretty low. Samacor is a subsidary of BHP so anything not producing big bucks normal gets shed by BHP pretty fast.
All in all the project looks pretty reasonable. With total resources of around 50 million tonnes which equates to a rough in ground value of USD4.75 to 7 billion (taking chrome concentrate prices of between at USD95/t to USD 140/t)
Lets say you value PSR @ about 5% of the resource value you are looking at a potential Mkt Cap of USD 200 million.
Further the project is in a pretty much ready to go state so not much upfront Capex required and no long lead time.
I still need to do detailed calcs but they should be able to pull any somewhere between USD5- USD10 million in profits per anum so on a reasonable projected PE of 14 they should have a Mkt Cap some where around AUD 89 to 130 million.
PSR is mkt capped at what about $14 million, at present and with the necessary share issues to secure the deal at a price of $0.03 per share they would only have a mkt cap of $23 million. So they have plenty of room to move up from here.
