"NPV = $600M. Therefore 50% stake is worth $300M."
Rumbai
Let's not forget the 50/50 profit split is for the mining of the SHIP tenement which currently stands at around 20mt of alluvial IO only. As stated these alluvials are only stage 1 of the SHIP project with hard rock hematite and magnetite to follow.
Oh and then there is SHIP North............ Unsure whether the 50/50 split applies to this north tenement also, does anyone know?
Also what is the $640m in reserve for? it's obviously not going to be required for the SHIP startup, the $260m plus the other 20% should cover that. Maybe, just maybe FAS are still in the running to be involved in the Esperance port expansion? Untill we hear any different I wouldn't count it out completely.
Just my thoughts.
FAS Price at posting:
1.7¢ Sentiment: LT Buy Disclosure: Held
