I dont see what the problem is with rail to port.* If BHP doesnt...

I dont see what the problem is with rail to port.

* If BHP doesnt come to an agreement or JV, then we got FMG.

* FMG has an open door policy.

* So all we need to do is drill a little more and get the resource up to at leat 70mill-100mill.

* At this point, mining will get a green light.

* If BHP doesnt want to give us access, with 100mill under our belt and a feasability study, whats stopping us from coming to an agreement with FMG??

* Nothing!

So all you gotta do is GET SET with your holding.

** Ive alrwady proven beyond a shadow of a doubt that EVEN IF WE DOUBLE THE EQUITY VIA A CAP RAISING, AND USE 70USD LONG TERM PRICE AND 48aud COSTS, AND 3-5MILL PRODDY, THE EPS IS VERY GOOD!

They will be profitable, even if we use less than 70USD price.

WPG did a feasability study and they have costs of 55AUD due to high transport costs (trucking)

Like I said our EPS figure is HIGH even when using conservative pricing and DOUBLING the equity!

If we dont double the equity and use say 100USD and 3-5 mill proddy, the EPS is over $1.00 per share . Look at previous posts

*** If we use $100USD as the price we get :

100USD * 1.13 = 113

113 - 48 costs = 65AUD profit per tonne

3mill tonnes : 65 * 3 = 195mill

after tax: 136.5mill net

Now we currently have 85mill shares. lets use 100mill shares instead

thats $1.36 per share (and this is 3mill proddy not 5mill)

dilute an extra 50 mill if you may:

you get $1.00 per share approximately!

So this shares worth $10.00 on a PE of 10

5mill production : 65mill rvenue per tonne * 5 = 325

after tax : 227.5

using current equity (say 100 mill again instead of 85mill)

$2.27 per share!

add another 50mill shares if you may:

227.5/135 = $1.68 per share

On a PE of 6 thats $10.00 per share valuation.

OK now lets DOUBLE the CAPITAL:

3mill tonnes - 136net profit / 170 = 80 cents per share!

5 mill tonnes - 227.5/ 170 = $1.34 per share!

So on a price of 100USD you get anywhere between 80cents per share and $1.34 per share EPS IF U DOUBLE THE CAPITAL!

*** Now u tell me this outfit isnt undervalued!

YML can easily DOUBLE its share capital and raise the funds needed via 100% equity for the project if they need to build tracks to FMGs line, and EPS is STILL 80c-$1.30 per share !!!!

you cant escape the figures

ITS UNDERVALUED AS HELL! INFRASTRUCTURE DEAL OR NO INFRASRUCTURE DEAL, ITS GROSSLY UNDERVALUED. EVEN IF YOU USE A FORWARD PE OF 5, ITS GROSSLY UNDERVALUED AND IVE ACTUALLY DOUBLED THE SHARE CAPITAL WHICH WONT REALISTICALLY HAPPEN.