Insufficient information to fully comment but given that current costs are $2.40 and they have targeted $1.80 by early 2009 I'd be cautious about using $2 costs. They have been saying that lower costs are just around the corner for several months and now have left the target until early 2009. I'd want to see the lower costs before using them in a valuation otherwise you are simply gambling on a company that has little credibility with its announcements over the last 6-8 months.
What sort of tonnage and recoveries were you using? What price are you assuming for the concentrate and how does this vary over the mine life? Depreciation, amortization, interest, tax ...
TMR Price at posting:
0.0¢ Sentiment: Hold Disclosure: Held
