Metro Mining Target Price $0.73, page-9

@stevenjd



At BFS end of month, I expect annual EBITDA of around 140 million. (See page 8 presentation) “Overall positive” - PFS show an EBITDA of 133,6 million

This should bring the share price up to 20 audcent. Issue price for new shares so likely 15-17 audcent (not 12 audcent). But let’s take 15 audcent for my calculation below.

Let's take a conservative approach for Capex demand, 35 million instead of 30 million (See page 8 presentation) - 5 to 10 Mio less than the 40 Mio in PFS

Since Greenstone already promised 20 million USD = 26.6 million AUD, this would lead to a 75% debt financing / 25% equity financing of the Capex.

So 35-26.6 = 8.4 million equity financing requirement.

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The small loan (8.5 million) of Balanced Property is also likely to be converted into equity.

8.4 + 8.5 = 16.9 total equity needed

So at an issue price for the new shares about 15c lead to 113 million new shares

586 (current) +113 = 699 million shares

Of this, Greenstone is limited to 30% , so about 210 million shares (30% of 699)

Currently, Greenstone has 105 million shares.

So additional 105 million shares are converted into equity for Greenstone.

Total shares than approx. 699 + 105 = 804 million

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If Metro succeeds in getting some other debt financing, the calculation will of course be even better.

Presentation says: "significant interest from debt financiers" (See header page 14 presentation)