Positioning for Takeover or JV bid?, page-101

No, I just take the capex across the project as set out in the DFS and pretend that the company has raised debt to provide it, and add it to the EV jalong with any existing debt. Usually a company has little debt when it carries out a DFS and has some cash to keep things moving forward but not to build a mine and processing plant. Once the company starts financing for its development, then I start reducing the capex assignment but since I am trying to get a handle on what the company's ratios will look like in a commercial production state, I allow for any fund raising still needed to achieve that.
It is a straightforward approach that gives handle on value and I reckon that there are still so many uncertainties before going into production that there is no point in getting too involved.
Cheers.