"The scary part is that the more you research this company the less you want to treat it as a quick punt but rather keep if for longer and the much bigger rewards in the future.
Thanks again guys I have plenty to keep me busy for a while
jojo"
I agree wholeheartedly jojo.
I look forward to the day when a 50mt discovery will be a small addition to their resource base. How many more years do you think it will take them to drill all their iron ore tenements??
You asked about the bauxite. In my valuations for the company I never include the bauxite. Just compare UMC market cap to current iron ore plays such as: AGO, WPG, YML.
WPG recently did a bankable feasibility study which gives their 19Mt resource a valuation of $139million ... and that is after spending over $100million of Capital Expenditure to build the minesite infrastructure. (I do own some WPG because it appears undervalued).
Then wonder if UMC just might have slightly more than the 19Mt of DSO hematite that WPG has.
Here is the WPG BFS release. It provides some interesting info on expenses, profit margins, and future iron ore prices regarding hematite DSO:
