Now before I go on with this I will say that I’m not an...

Now before I go on with this I will say that I’m not an accountant so my figures could be out a bit.

RES is aiming for production of 6 million tonnes per year for stage 1 beginning with some luck in 2015.


Stage 1 saleable production of coal 6 million tonnes, I suppose it depends on how much RES gets for the coal contract, let’s say at current market price for coal.....Which ATM is $85 per tonne for thermal coal let’s round it off at $80 per tonne.


Years 1-5 6 million tonnes @ $80 per tonne = $480 million per year x 5 years is $2.4 BILLION DOLLARS.


Now RES holds 74% of the mine and the rest belongs to our BEE joint venture which has 26%.

74% of 2.4 Billion is...............$1.776 BILLION DOLLARS............AGAIN IT IS $1.776 BILLION DOLLARS FOR THE FIRST 5 YEARS ONLY!


Now as I have put the price of thermal coal at a lower price, if the price of thermal coal is more then so is the profits of RES.

Also you might ask what about the cost of mining the coal as PJ has said before, the mine will be a massive low- cost open –cut mine.

So I’m thinking that I will not sell what stock I have got of RES, until I get a dividend, or if someone wants my shares for $5+


Now FP to work the above out I had to open up a bottle of red, I'm hoping that my figures are right as it shows the up-lift in, what the profit for RES is if the price of coal goes higher.


Don't forget that this is only for the first 5 years of the mine........74% of 2.4 Billion is...............$1.776 BILLION DOLLARS.


Good luck to all that hold RES