pfs should show profit 50m a yr for 30yrs

Hi guys, I don't usually post on HC, I post on ASF, anyway heres the research I did on this stock and why I bought on Friday.

Any queries ie how can 20% magenetite be converted into 65% etc can be found on the companies web site
Project- http://www.ferrowest.com.au/yalgoo.html



I have found anohter Iron Ore gem and unfortunately its started running alot sooner than I had hoped, so before it runs to far I'm starting an FWL thread.

This company is looking at producing Pig Iron which should generate $75m a yr in EBIT for 30yrs vs a current mkt cap of $21m

It has a largish low scal magnetite deposit,

We can expect a JORC in 1-2weeks

With a PFS By start of JULY,

I am seeking to get a discussion going to assess whether my assements of the company are reasonable

At 25c Current Mkt Cap = $21m
An EBIT of $75m a yr for 30yrs = NPV $1Billion+ (EBIT of $2.25Billion)
So I'd say once PFS is out I'd expect a mkt cap of $50m minimum = 60c


Advantages
- Management = Ex MIS MD in charge of their Magnetite Project, Excel Coal
- TOP 20 = Hold 80% so very tight
- Capital raisings will be done sparingly = When they issued rights options instead of being free or 1c they were at a 4c cost so company could raise $1m from the rights, sounds very very prudent to me
- Infrastructure amazing, on the main highway to Port Geralton = truck ore no rail! 14kms away from main town of Yalgoo, can use all exisiting port facilities, gas and water run through or near deposit
- Mkt cap tiny vs NPV
- Backed by Martin Place
- Pig Iron in high demand, much higher than magnetite ore as its a value added product
- Japanese Steel firm Kobe already taking Iron Ore samples, they could easily underwrite the development of Yogi project


Disadvantages
- Cap Ex = $350m+


It all looks good but I want to hear some others thoughts and feedback,

I found most of my info on the companies web
Project- http://www.ferrowest.com.au/yalgoo.html
Top 20 (old) - http://www.ferrowest.com.au/shareholders.html
Management - http://www.ferrowest.com.au/directors.html

And also recent announcements



p.s. DYOR!