OXR oxiana limited

oxr 2009, page-7

  1. 3,698 Posts.
    intrinsic value 1.18 OXR's intrinsic value is 1.18

    no. of shares by 2009 = 1,800 (m)
    mine life 20 years

    Copper -
    Copper price per lbs = $1.25
    Cost of recovery per lbs = .12
    4 (m) tonnes OR 8816 (m) lbs
    total earnings per year over the mines life = $498 (m)
    Gold
    Gold price per oz = $400
    Cost of recovery $200
    10 (m) 0z
    total earnings per year over the mines life = $100 (m)

    TOTAL = $600 (m)
    minerals lost in processing = -20%
    $480 (m) OR 27 c per share every year for 20 years
    30% discount rate
    27 c discounted for time and risk over 20 years gives you...... US$0.89
    A$.75 = $1.18


 
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Currently unlisted public company.

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