The company may well be producing 1Mtpa of concentrate, within 2 years. That is what they have suggested. (very bottom)
PLS has a vast resource yet to mine, over the next 25 years.
The way they get to 1Mtpa has been explained before by the company - and most likely will be in place sooner, than some companies with high profile........but effectively, what still are greenfield sites - in countries with much higher risk premium, than Australia. Time/risk discounted values are attributed to future earnings for these other companies - as an aside, what value has been built into the PLS ramp up ? zip I suggest.
To some extent - that June qr, put some "runs of the board" so to speak, for PLS. .............$590m free cash on June Quarter shipments of 127-132,000/dmt which is A$ 4,500 ton profit (includes royalties, but not tax obviously).
So bearing in mind what the company has just achieved in June qr - maybe my calculations are reasonable. What is wrong with suggesting 1Mtpa @ A$6,000 pt ? (we know full well, that prices lag and moving from june qr A$4,500 pt to A$ 6,000 is factual/ reasonable)
So 1 Mtpa @ A$ 6,000pt (averaged out across their product range) equates to A$4,200 billion NPAT. PLS Resources is just the company, made for a bit of a higher PE multiple.... but lets just put them on a PE of 10.
That comes to a cap of A$42 b or SP of $15. (It can go higher in reality, and soonish 2 years- I think - with already from the company, some hint at production in excess of that 1Mtpa. )
---------------------------------------------------------------
Just one last thing - I think with shipping scheduling going to plan, this qr - they do 175,000 tons and at that A$6,000 pt free cash, pre tax - that comes to the elusive $1b profit in this quarter. So will have to wait and see. With a range of covid issues early in the quarter and their 2nd mill yet to ramp up...."The Pilgangoora Operation is set to achieve a significant increase in spodumene concentrate production for the June Quarter of 123-127,000dmt (March Quarter 81,431dmt)" so : -
Therefore I think - with that 40,000 tons, already shipped - I think 175k tons in this 3 months is game on.....A$1 b.
Exciting times with thiS stock.
--------------------------------------------------------------------------------------------------
CORPORATE REPORT PLS
Future Expansion Opportunities ‐ Potential for future incremental expansions of the Pilgan Plant subject to prevailing market conditions, completion of studies and final investment decision of the Board (FID):
P680 Project, +100,000tpa incremental brownfields expansion to Pilgan plant
P1000 Project, +320,000tpa project, increasing aggregate nameplate capacity of Pilgan to ~780-800,000tpa
- Aimed at achieving a combined nameplate processing capacity supporting production of +1 Mtpa spodumene concentrate with the potential for production of “mid stream” value-added product
- Forums
- ASX - By Stock
- PLS
- Good News & Bad News
Good News & Bad News, page-12706
-
- There are more pages in this discussion • 34,600 more messages in this thread...
You’re viewing a single post only. To view the entire thread just sign in or Join Now (FREE)
Featured News
Add PLS (ASX) to my watchlist
(20min delay)
|
|||||
Last
$2.83 |
Change
0.090(3.28%) |
Mkt cap ! $8.522B |
Open | High | Low | Value | Volume |
$2.75 | $2.83 | $2.72 | $39.65M | 14.17M |
Buyers (Bids)
No. | Vol. | Price($) |
---|---|---|
2 | 1106 | $2.82 |
Sellers (Offers)
Price($) | Vol. | No. |
---|---|---|
$2.83 | 211057 | 8 |
View Market Depth
No. | Vol. | Price($) |
---|---|---|
2 | 1106 | 2.820 |
1 | 2000 | 2.810 |
5 | 369228 | 2.800 |
1 | 75128 | 2.790 |
6 | 50415 | 2.780 |
Price($) | Vol. | No. |
---|---|---|
2.830 | 211057 | 8 |
2.840 | 72076 | 9 |
2.850 | 84260 | 25 |
2.860 | 39915 | 8 |
2.870 | 34648 | 6 |
Last trade - 16.10pm 28/10/2024 (20 minute delay) ? |
Featured News
PLS (ASX) Chart |