Strong buy, page-7

Just as a point of interest, for NST's SP to get to $10, you will need:

Prove up reserves so PE could get rated at 9. Production 700k ozs p/a. (Very doable).
And a AISC cost of $1000 under POG. In other words, gold at A$2000p/oz and AISC at $1000p/oz.

If that was to happen the momentum would drive SP above $10.

Having said that if POG was to rise to $2000p/oz, you would probably find that AISC will rise to say, $1300p oz. In reality for $1000 net p/oz you will probably have to have POG at $2500 and AISC at $1500.

Just fantasizing, but pointing out remote possibilities at this stage

Don't forget we also have large potentially lucrative exploration sites (Fortescue JV) and with a lot of luck some coal to boot, and if POG rises sufficiently another mine around the corner (Ashburton).

1m ozs at $700 profit would do the same.

If these figures above were to eventuate, however, some of the 'golden dogs' like FML etc would see a higher % gain in SP than NST.