Ann: PFS - Calcine and Leach Testwork Complete - Strong Results, page-15

I like your optimism D04. There is one adjustment required to your EBITDA = A$28om COB has a Royalty commitment of 7% (5% SR plus 2% NSR payable to BPL). This reduces your EBITDA down to A$250m pa. This number translates into:
1. PAT = A$158m pa
2. FCF = A$178m pa
3. FCF Valuation = A$178m x 10 times = A$1780m
4. FCF Valuation = A$5.60 (PFDS after Capital Funding: Debt/Equity: 60%/40% at A$0.60)
Close to my numbers and give a very good sense of COB's inherent value. This will only increase as the LME Co Price continues its upward march towards US$100,000/t
Please DYOR