Thanks for the calculation which shows it is a good deal even at the grades you have used which are the JORC grades.
If you substitute the grades that are really going to go through the plant then the numbers will be substantially higher. I have said this before the function of the JORC is to give a scientifically accurate figure for mining. Well, we all know this is not what is happening.
The ASX are forcing you to give a result via your spreadsheet that would be totally out of sinc with a similar spreadsheet internally used by CuDECCO. The really interesting fact is the company is not allowed to convey to shareholders the results of their own management conclusions. This JORC thing is a total FURFY.
The reason the predator is washing shares back and forth and keeping the share price below what the company is worth is exactly because of the difference between the two spread sheets. Many companies keep two sets of books, this is ridiculous, having a false conclusion forced on the company by the ASX possibly to allow fraud to take place. Can anyone give me a better reason for an event like this to take place.
We all know the copper grade mentioned is possibly what will be mined from year 5 onwards at that point the JORC starts to possibly get accurate. Where it then gets out of sinc is the plant will probably be increased in size to possibly 10 MTA at around year five. Add to that they will be mining richer parts they are still looking at the moment other than the central deposit. Wilgar will add to the mix as a separate plant. They still have not sent down the deep holes to find out if there is anything under Wilgar.
Having said that your calculation still shows the company is conservatively valued as at this moment. Thanks for the effort.
I think we would like to see the spreadsheet substituted with the numbers more like what we believe the numbers the companies internal spread sheet would look like, which the ASX will not allow them to show us.
CDU Price at posting:
$3.70 Sentiment: Buy Disclosure: Held
