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22.5¢ galan lithium limited

General Discussion Banter GLN, page-14922

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merwej

362 Posts.

68

26/03/24

14:29

Post #: 73064842
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Originally posted by merwej: ↑

Mondy thanks for providing an analysis so that we can have a discussion. I appreciate the effort. Below I have given another view on the same numbers you had. Assuming that Capex will be US$401m for 20ktpa (this includes the 15% contigency). Hopefully we can save a bit. If Galan is happy to roll over the debt and are able to get new finance it shows that at 5400ktpa production level we are making A%22m profit (in line with you revised figures). They can have a dividend policy of 30% of FCF as dividends (same as PLS). Then the dividend yield would be 4.4%! This is at current low pricing and only 5400ktpa production and 15$ interest on loans.

At 20ktpa the dividend yield increases to 16% at current low lithium prices. 70% of FCF is still maintained in the company for paying of debt etc.

I also have a scenario if Lico2 pricing improves to US18000. The dividend yield at 30% of FCF is then 22.5% .

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My calcs are now out of date due to Hoopz post on allowing for depreciation of capex in tax. that would improve the dividend yield even more!

GLN Price at posting: 37.5¢ Sentiment: Hold Disclosure: Held
5 Upvote

0 Great analysis

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Last 22.5¢		Change 0.000(0.00%)		Mkt cap ! $105.9M

Open	High	Low	Value	Volume
23.0¢	23.0¢	22.3¢	$581.5K	2.557M

Buyers (Bids)

No.	Vol.	Price($)
6	533376	22.5¢

Sellers (Offers)

Price($)	Vol.	No.
23.0¢	167023	5

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No.	Vol.	Price($)
6	533376	0.225
17	833648	0.220
12	317293	0.215
24	702340	0.210
13	560335	0.205

Price($)	Vol.	No.
0.230	167023	5
0.235	402059	7
0.240	234713	7
0.245	288676	7
0.250	282540	7

Last trade - 16.10pm 28/05/2024 (20 minute delay)


Last 22.8¢			Change 0.000 ( 1.11 %)
Open	High		Low	Volume
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