MAK has 100M tonnes of high grade RP...give or take.MAK has 100M...

MAK has 100M tonnes of high grade RP...give or take.
MAK has 100M shares fully diluted......give or take.

Equals 1 tonne of RP per share...give or take.

So buy a tonne of $400 RP for $1.60....buy 1 share in MAK!!

PS Hope title of thread didn't cause any heart attacks!

No...RP hasn't dropped to 160 per tonne if that's what some thought I meant!

It's risen from $200 1st quarter 08, to $400 2nd quarter 08, just in case anyone needs reminding.

Current profit margin on your 1 tonne of RP for $1.60 is $300.....give or take.

Look forward to MAK digging MY tonnes up and selling for $300= profit.

Mak trading at gross forward P/E (before taxes/royalties etc...but AFTER costs of $100 per tonne) of 0.2....that's 1/5th of 1 for anyone mathematically challenged.

At a P/E of 1....(producers generally trade at P/E's of between 10 and 40...depending on how quickly market expects they can exand production etc).....Mak should increase by a factor of 5x...or $7.50 a share.

At a P/E of 10....which is still low for a rapidly expanding Co.....Mak price target would be $75.

Take minimal dilution into account ($30M estimated Capex)and you still have a target of $50+ based on "in the bank" profit after taxes etc.....at a conservative P/E of 10.

Big question is will RP remain at high prices?....YT's research suggests it will, as do a lot of others....even Buffett is recommending the Ag sector.

Prices expected to be well supported for at least next 2 seasons (years) at which time, all going well....
ak will be a producer.

DYOR....I'm obviously excited about Mak's prospects...so please correct any calculations errors if you find them.