which figure is right?

From a previous post someone advised on a dj charmichael's report on potential of CAZ, but the figures appear ambigous....is the $9.95 value calculated on the 100Mt resource associated with the MOU with BHP or the 215Mt that CAZ believe they have

as you can see rather important to determined which figure they used as MOU allows to sell more to BHP or from CAZ to sell to 3rd party.......prehaps somene with report can shed some light


Cazaly Resources Ltd (CAZ) What is Shovelanna worth?
If CAZ are granted the Shovelanna Hill tenement (46/678) that Rio Tinto accidentally
forgot to renew on time, it will go down as one of the best little land grabs in WA mining
folklore. On present data, the tenement hosts an Inferred Resource of 216Mt @ 62%
Fe (iron ore) within the Brockman Formation - the same stratigraphic unit that contains
BHP's Whaleback mine at Newman. Although many believe that CAZ will not be able
to retain the tenements, if they are successful, the following paragraph illustrates what it
would be worth:
Using the terms within the Memorandum of Understanding (MOU) released on 28th
November 2005 with BHP: (a) 5Mt pa production rate; (b) 100Mt extractable resource;
(c) net margin at A$14/t; (d) CAZ controlling 86 percent of the project; and a 8%
annualised discount rate, the attributable pre-tax value to CAZ would be approximately
A$561.7m.
This would equate to a fully-diluted value of A$9.99 per share.