danbradster & Treefeed,Thank you for your comments“$250 * 5000...

danbradster & Treefeed,

Thank you for your comments

“$250 * 5000 MTU * 3 months = $3.75m less $0.85m costs = $2.9m positive cashflow per quarter. That is only when they get the machinery working reliably. Their costs may also rise above $0.85m at nameplate capacity, so a more realistic estimate might be $2.5m positive cash flow.”

With the tailings Capex of say $5Mil and $2.5Mil estimated quarterly cashflow payback 6 Mths when production is upto speed. (Seems to good to be true)

Just by getting the tailings running to design that’s estimated positive cashflow of $10 Mil per annum and a current market cap of $28Mil no debt, should I see some upside?

But considering the following the Feb 2011 figures CNQ gets to be very impressive.

Low Grade stockpiles. Production 100t Mth EBITDA $15Mil Yr Capex $20Mil Mine Life 5 Years Start up 2012.
Hard Rock. Production 200t Mth EBITDA $30Mil Yr Capex $5Mil Mine Life 10 Years Start up TBA.

No wonder Management use the figures “robust” in there announcement.

Sit back and enjoy the ride.