the real deal

Just for the faithful, one thing that has to be illustrated in chasing every stock that mentions the word phosphate, is that like the uranium boom and reality check, is that not all companies will ever amount to having a minable resource.

One thing for sure, is that MAK are sitting on the largest undeveloped deposit.

2 billion tonnes, 100 mt high grade or there abouts.

PE can be used as a true guide, as the resource mining operation will effectively be continuous. ie the resource is not going to run out in our life times.

The 2 billion tonnes has an inground value of close to a trillion dollars.

So plenty of options for MAK to look to production upgrades as it gets a head of steam into production, not to mention what 500 million tax and royalty paid, clear profit will do for getting other projects into the money stream as well.

When MAK is earning these dollars in a couple of years, these other juniors, may have followed in the spec back draft behind mak, but will be along way from the real revenues that put companies on the gloabl scenery.

For those who want a reminder.

On a PE of 10, 500 mill tax clear profit puts mak to a target MC of 5 billion/110 fully dillutes = $45 target SP.

So there's plenty of upside to come from the current level of 2.50.

That's 18x on PE 10, 3MT production.

And with the tin, iron ore, monia flourite and other projects, will add to those earning in due course.

How many of these other specs can give such confidence they will acheive 18x? or 10x conservatively.

Just a word of warning for those downsizing mak to spread to the other sector specs, IMO, it is a valid play, but the lions share should remain with certainty. (to mak)

Good hunting

cheers