The 125MTPA is solely from the Congo mines, but it will be closer to 200MTPA once the additional Cameroon mines are added - Mbalam alone is 40MTPA and Nkout is significant. Not least other mines in adjoining countries. FMG’s Belinga is not far from the end point of the 149km Congo rail extension and they are transporting their IO via truck in the initial phase.
So expect the list price to steadily increase as the Build-Operate-Transport work is completed and neighbouring countries realise the ability to unlock their precious resource value.
I’d expect that 10% is an absolute minimum for the revised structuring. ANS has a much larger involvement without Baowu investment. But I expect 100% of available IO to be taken up. Baowu will certainly take the remaining Ore.
You have to calculate the value of the project. If 10% of $30B, then $3B divided by shares existing. USD 50c+. Any greater share % or Value increases this. Our shares would represent our slice of the project value. Personally, and I’m guessing like anyone else who cares to, I expect 20% of USD30B. That would be 6B value share divided by 5.7B shares…so over USD1.00 per share initially.
Simandou is tied up by Rio Tinto, Winning Consortium and Other and will be late to the party IMO. That stream of IO will come after our effort.
A small % of the IO will remain in Africa for nation building which equates to additional value for the workforce/consortium partners, keeping the pipeline stacked and the insitu workforce actively employed.
We should now be expecting an announcement on details, as funding was mentioned in the last Ann.
2024 is the year!
ANS Price at posting:
1.7¢ Sentiment: Buy Disclosure: Held
