Hi Squidd,"I'd be impressed if they used IO prices of, say, $65,...

Hi Squidd,

"I'd be impressed if they used IO prices of, say, $65, $80, $100, & $150, and ran through the CAPEX repayment, Cash flow, and EBIT implications of each price"

Agree with you, on economic front there are nothing to worry about Capex around $US4b mark, IMO more upside as long as:

1. IO prices will stay around your indicated prices.

2. Potential increase in production tonnage using base case scenario.

3. SDL CAPEX will be shared among future producers in Mbalam region, meaning extra revenues for SDL.

Also potential off-take agreements will set up SDL long term market deals, with guaranteed sales and support for FOB price.

(Swans10),
I always take pleasure to see opposite views, which become valuable when they are presented or demonstrated with facts or good arguments.

(Zwilliam),
Haven't got much time to review your valuation, hope I could provide with my views over this weekend (thru email).

Cheers,