A point I make here which strengthens my view that brokers and financial media don't know what they are talking about is that the KNP is referred to as the $1.4 bn jv. The value of the resource is in excess of $100 billion. $1.4 is simply the cost of the plant and mine. The cashflow forecast is over $700 million per annum at nickel prices of $US3.50 per lb. Nickel prices are above $US7 per lb and likely to stay high for a few years yet. Potential of HRR still not understood. The size of it is too hard to comprehend for most individuals. Profit is forecast at $286 million per annum with nickel at half its current price. So double that and then take 40% for Heron. Thats roughly (disregard cost increases) $230 million per annum profit to Heron. Thats over a dollar per share profit per share. Work that out in terms of what the value of the stock will be. These are clearly , best scenario and absolutely basic, but it stacks up to say that this is pretty special. PLUS spin offs of 3 companies for free to Heron shareholders . I certainly get it and doing all i can do increase my holdings over the coming 12 months to set myself up for life. Rockford
HRR Price at posting:
0.0¢ Sentiment: None Disclosure: Not Held
