Hammer Share Evaluation

I would very much like to read any comments from the readers of what they believe should be the value of a hammer share. Some-ones post today was along the lines that they couldn’t (or didn’t) didn’t have the answer to a particular question as there were a number of people who work for weeks on end to come up with this information. I'm not expecting this depth in but a thoughtful and commonsense answer would be helpful

I should add that ‘this is not investment advice, and you should ‘do your own research’

I really wouldn’t have a clue but I get $3.27 while I am watching the Coronation concert and have worked out the value for a hammer share on the back of an envelope?

Firstly, it’s difficult to arrive at an accurate value for Hammer as although there are some ‘numbers’ on todays announcement for Kalman, there are more to come. There is the additional resource for Hardway and Mt Hope - this month, and more from Kalman and the other components of the 3.500 square kilometers of 'Hammer' (and in the fullness of time), and the real numbers are much greater than those in this report

On the back of a bunnings docket?

There’s 208,400 tons of copper at US $7,714 = $1,607,597,600

343,200 oz Copper at US $1,850 = $634,920,000

38,000 tons of Moly. at US $37,468 = $1,423,784,000

1.92m oz Silver at US $200 = $737,280,000

84,100 Kg Rh at US $1,800 = $151,380,000

That’s US $4,554,961,600 at X 1.47625 for AUD = $6,724,262,062 =

Gross income

Less expenses

If it were Gold the AISC / oz might be from less than $1000m and as high as $2500 per oz and if gold was AUD $3000 oz would be from ~ 30% to 80%. Let’s say 60%

If costs are 60% the profit is 40% and that makes the profit AUD $2,689,704,824

That’s $3.27 for every one of the 821,400 HMX shares.

I would encourage any corrections or comments of this result and I although my result isn’t accurate it maybe more so than the present ~8 cents.