This stock and its SP performance have been quite interesting to...

This stock and its SP performance have been quite interesting to me over the years. And at this point in time, the dislocation of the current SP in relation to the company's present position (in terms of assets/resource and its development towards production) is quite a perplexing conundrum of the most confounding sort to a simpleton like me.

Let’s see, it has over 90,000 tonnes of copper in the ground (70% on the measured and indicated side).
At current prices that is a few pennies less than US$5 billion. Or in AUD a couple of shillings short of 7 billion dollars.
So there is close to over AUD$7billion worth of dirt in URL's backyard, without even taking into account the 240,000+ ounces of gold that's lying around in the corners.

Feasibility is due in the near future, and should confirm that URL's 'little' project should be churning though about 8 million tonnes of dirt every year for the next 9 years, so as to end up with a 50,000 tonne pile of copper each and every year. (I would assume they plan on selling these piles of copper, and not keeping them for their visually aesthetic qualities).

Capital costs were worked out to be between AUD$200-250 million. (what's 7 billion minus 250 million? My math is not very good, but I think it is a bit better than break even). (of course one should also include running production costs - I will wait for the feasibility to see what that estimate will be).

Roseby will be open-cut, so easier to get to the get-go. (start of production - which is currently assumed to be in late 2007), which should allow for a 'reasonable' cash flow, thus in turn allowing a few bob from the petty cash tin to find their way towards sticking a few more holes in the ground so that URL might be able to get a few more than 9 years worth of work out of it's mill.

All this, and a SP of around 10cents.

I shall continue to watch this little company with interest.