like I said - have a look at hartelys report for example : they have come to 20 cents per share EPS in 2009-2010. This assumes dilution I would assume.
remember magnetite plays costs are astronomic
the haemetite producing 3million tonnes would give 30cents per share approximately according to my/our previous posts a couple of weeks back. 30 cents per share , but you need to include some further dilution for financing the 3mill haemetite.
once the haemetite is up and running they can make good margin cash flow. Theyll either get a partner JV alliance happening to ge the magnetite up and running or theyll need to borrow a heck of a lot and dilute a heck of a lot as well.
If hartleys are on track, then with a PE of 10 we get $2.00 for the haemetite plus whatever upside for the magnetite.
the problem now is delays due to the environmentalists
they say march 2008, but with this delay who knows when theyll produce as it could be end of 2008 or into 2009 now.
good potential this stock, but a lot of good news already factored in with the share price appreciation from 60c to close to $2.
AGO Price at posting:
0.0¢ Sentiment: Buy Disclosure: Not Held
