what is so good about this stock, page-29

Hi Stefanis,
Calling my back of a fag packet calculations a "discounted cash flow analysis", a bit like putting a tutu on a pig.
But goes like this
Take projected mine life, production levels, price of metals, likely costs.
Work out a rough and ready total profit.
Take off initial market cap[to account for my initial investment].
That "profit" , I work out what share price would give me an 8% compounded return.

Total return = the compounded 8% plus my initial investment.
Rate of return 8%[not a magic number, just what I''m happy with].

Because of differing mine lives called it 10 years[ok for Phu Kham, others are 6 and 16 years]


profits
2.4 bill
0.3 bill
1.6 bill
total 4.3 billion

Copper at 2.50 per pound
Gold at 950
40c SP goes close to fitting the numbers above.
And you are right, should have done each mine separately, but only so much room on a fag packet.
Very rough and ready, but find this process keeps my mind on the job.
cheers