value of mco, page-14

Yodi

my theory, if you have a tool and it works then use it

my tool is DCF analysis as a computer program written for me by an honours degree student in computer science

I plug in the inputs for a stock and out comes a DCF valuation, or an EV (much the same thing)

for MCO these are a few of the numbers I have currently keyed in

* 50,000 ounces p.a. two years forward
* plant and equipment $10 million
* HQ admin $1 million p.a.
* greenfields exploration $1.6 million p.a.
* 16 g/t of excavated material (includes development drives)

i also plug in lots of other costs associated with production that outputs cash costs per tonne = $173 (including depreciation)

bingo! works for me and has done the job for about ten years