TA Charts and Broker Data, page-82

Can I present another scenario.
Andy meets with NST and arranges a Royalty agreement. 6% is not unreasonable for a promising discoveries. NST then wears all costs of Production with NXM receiving $140 per ounce (@ Current AUD Gold Price) 100,000oz per annum production translates to Revenue of $14 Million for NXM. A P/E ratio of 15 would then value the company at 210M / Approx. $0.80 per Share.
Positives for NXM:
- No need to go into debt / take out a Loan
- No need to Capital Raise / Dilute Company
- Keep NST at Bay for longer.
- NST would have not choice but to take NXM over when the Gold resource is proved. (I would be very surprised if NXM has not already discovered 500,000oz. It could even be several times more than that)
- Revenue received from Royalty agreement then put towards / fund NXM’s other promising Projects.
- NXM Share Price would then be much higher in 12 - 18 months when NST makes their move.
Thoughts?