Hi
@richard987,
Any answer given on HotCopper to a question like that would be pure speculation, or insider trading from a financier intimate with the lending arrangement, I will say I fit into the 'pure speculation' category for financing in this question. I can only go on historical cases of large-scale financing which is still very turbulent and not one-size fits all. I think that we will get (whether you can be happy with this I do not know, it's always a bitter pill to swallow) we will be diluted %40 by giving up this percentage of the company to the largest lenders giving us a $3B NPV rather than $5B, SMS will fund the TIVAN refinery for a higher % on net returns produced (offset greatly by the recently announced $50m OPEX savings per annum), and lender/s will provide the remaining in cash funds at comparable interest rates. Lets say we increase the lending payback period by 50%, this gives TNG a 6 years payback period, again offset by as
@Morry says, increases in resources, bottom of the resources cycles and all the huge figures around TIVAN and its potential to be larger than TNG's current $5B NPV and it is not even given a dollar value in TNG's calculations. So in all basic but reasonable calculations it is not hard to see a value of $3B market cap putting TNG at 30x current market cap come mid-construction, with not much value based on TIVAN which directors state will be what TNG is known for moving forward! Does that sound huge, because it really is. And it all starts with the announcements due in the next three months, revised EIS updated with water aquifer results to appease the Government enviro reps, revised CAPEX figures being drafted etc. etc. Look forward to a good solid news flow in the near term. These lows are the trough in the exploration to production mine graph, and do not last once permitting is completed. Always DYOR and be happy with your risk, but still take into account the potential reward ;-)
Wonderdog
