waht value cds, page-5

LOL. Let's be sober on a saturday night.

Here I go (and muy figures ae absolutely open to debate)\

Coking coal = $120 per ton
Thermal = $65 per ton


assume 415 000 000 Tonnes coal at 30 % Coking, 70 % Thermal

In situ value of $ 33 822 500 000.00 (say $ 34 billion !)

311 000 000 shares outstanding

for every Ton they ship they will get $36 for coking and $ 45.5 for the thermal (3 to 7 ratio in the ton) which is $81.5 per ton.

Assume 70 % cost for mining production, shipping (Is this harsh ?). Means that they profit 0.3 * $81.5 = $24.5

Lets say they can ship 40 000 ton per annum (is this realistic ?) which would give them $978 000 per annm profit (lets call it a million)

So 1 Million per annum profit by 311 000 000 shares gives approx 33 cps

Production say in 4 years frm now gives SP of about 15 to 20 cents value right now (my guess) ! And should rise as the storuy unfolds to about 33 to 40 cps in 4 years time

IMO bargain prices at what 7.7 cents at the moment (and heck I think I was real pessimistic)