minemakers incomparably superior to rwd

Compared to MAK, RWD is way over priced.

CAPEX for RWD is $120M.

Both MAK and RWD should be able to begin production at the same time first quarter 2010 with 120M shares on issue.

At $400 tonne for phosphate at based case of 2M tonnes production, MAK EPS = $3

(2M tonnes x $400 revenue less $100 opex x 0.60 tax, etc, divided by 120M shares = $3 EPS)

Of course, MAK may easily start with 3M tpa, which makes EPS of $4.50.

RWD will commence with 200,000 tpa and will take years to increase that to 400,000 tpa.

On 200,000 tpa at $900 per tonne for potash, the RWD EPS is only 73 cents.

One cannot compare MAK with RWD. Compared to MAK, RWD is a dog.

RWD calculations are below:

potash$ opex tonnes margin EBITDA IDA EBT npat eps
300 250 200000 50 10 15 -5 -3.5 -0.03
400 250 200000 150 30 15 15 10.5 0.10
500 250 200000 250 50 15 35 24.5 0.22
600 250 200000 350 70 15 55 38.5 0.35
700 250 200000 450 90 15 75 52.5 0.48
800 250 200000 550 110 15 95 66.5 0.60
900 250 200000 650 130 15 115 80.5 0.73
1000 250 200000 750 150 15 135 94.5 0.86
1100 250 200000 850 170 15 155 108.5 0.99
1200 250 200000 950 190 15 175 122.5 1.11

300 250 400000 50 20 15 5 3.5 0.03
400 250 400000 150 60 15 45 31.5 0.29
500 250 400000 250 100 15 85 59.5 0.54
600 250 400000 350 140 15 125 87.5 0.80
700 250 400000 450 180 15 165 115.5 1.05
800 250 400000 550 220 15 205 143.5 1.30
900 250 400000 650 260 15 245 171.5 1.56
1000 250 400000 750 300 15 285 199.5 1.81
1100 250 400000 850 340 15 325 227.5 2.07
1200 250 400000 950 380 15 365 255.5 2.32