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Message: don...

fom the sh bb...rough calculations.....this would be niice


"I went back to the feasability study again for a detailed calculation of annual gross and cash glows at current metal prices.
Here it is.....

Average LOM production is (accountable metals) 152 million pounds zinc, 21 million pounds copper, 300,000 ounces silver and 3300 ounces gold;
That amounts to about $275 million in gross sales per year.


LOM operating costs estimated at an average of $73 per tonne of ore mined and includes a capital recovery charge of $6.48 per tonne payable to Xstrata Zinc for use of the mill and tailings facility;

Annual tonnage mined will be 800,000 tons of ore which computes to operating costs of about $60 million per year.
Annual cash flows will therefore be about $115 million per year or $40 million net to DON which computes to a market cap valuation at 7.5 times cash flow of about $300 million or better than $2 per share.

That is a 4-5 bagger from here and at least half of that will happen when the financing deal is announced."

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