3500,There is still risk in this stock given that it has no JORC...

3500,

There is still risk in this stock given that it has no JORC and mining trial study. Only technical study was done and Noble was happy to throw their risked money in. Apart from the loan from Noble, we also have two important major shareholders: EIM capital (read about them and their monthly report on the emerging stocks from their website) and Andrew Scanlen (Storage King founder). Even though $300-500k is petty cash for these two in their every day life, they have their own ways of judging an investment including specialised knowledge or even connections that we don't have. Also, $4m is a micro loan of Noble, high risk high reward category.

My estimate is it costs as high as $3.5/dmtu (equivalent to $170/tonne of 48%Mn ore) to mine, process and transport/ship all the way to China. So if the ore is priced at $5.5/dmtu, KAB makes $50/tonne or $9m/yr (for 180,000t/yr production) after all costs.

Imo, it is still hard to give KAB a value until it derisks this project further and allows us to run the number with its real costs and the resources. However, at this price, we could make 4 bags when it starts production, imo.