GRR worth a spot on the watchlists given the Pellets (low...

GRR worth a spot on the watchlists given the Pellets (low emission high grade ore) they are selling.

Back of envelope calcs below.

ASX GRR
	Shares on Issue	1,157,338,698.00
	Cash / Receivables at 31/3	$332,020,000.00
	Cash / Receivablesvalue per share	0.286882311
	Debt	0
	Current Net Position	$332,020,000.00
	Share Price	0.75
	Market Cap	868,004,023.50
	Assumed production costs (AUD)	$120.00
	Life of Mine/Production asset (years)	10
	Pellet price AUD	$420.00
	Earnings per tonne	$300.00
	Likely annual production rates	2,000,000.00
	Assumed EBIT	$600,000,000.00
	Tax of 30%	$180,000,000.00
	Earnings after 30% tax reduction	$420,000,000.00
	Earnings per share	0.36
	Assumed PE ratio of 5	$1.81
	Assumed PE ratio of 5 + cash at 31/3	$2.10
	Assumed PE ratio of 10 (life or project) + cash	$3.92
	40% discounton PE of 5 + cash (Iron ore price, production cost uncertainty etc)	$1.70
	20% discount on PE of 5 + cash (Iron ore price, production cost uncertainty etc)	$1.90
	10% discount on PE of 5 + cash (Iron ore price, production cost uncertainty etc)	$2.00

Not advice just an opinion, something may have been overlooked so do your own research. Not a professional and this certainly isnt advice. Do your own research as always