Mount Monger will produce 170 000 ounces this year all in cost of $1016 per ounce and a POG of A$1535
Lets say that the POG stays where it is for the year thats $500 times 170 000 = $85 million cash profit.
Of course this simplifies things a bit too much as there is Murchison on care and maintenance costing $1.5 mill/ year and other high grade discoveries that may yet come to fruition but at 46c SLR has a market cap of $230 mill so a P/E ratio of less than 3???
Unless you think the POG is going back to A$1200 it would seem to me that the SLR share price should easily be double what it is now.
SLR leaving the ASX200 is a bonus for us small shareholder and offers the chance to grab what looks to me like a bargain.
IMOO
SLR Price at posting:
46.0¢ Sentiment: Buy Disclosure: Held
