Ann: ATC Ferrotungsten Project Presentation , page-2

Well, that presentation was enlightening.

$1.8m Net to HAZ means that it's trading at 13x 2013 EBITDA, then moving to 2.4 (2014) and 1.5 (2015).
Ofcourse future results will be substantially better if they manage to get Big Hill running.

From the looks of it, the furnace will only run at 25% of capacity this year. At 16t/day, that's only 46 days of production for this year.

Which is about 3 working weeks every 3 months. So I reckon (purely speculation), they'll start off by only running the furnace for a week or two. Sell the ferrotungstun, wait up to three months for the next shipment of supplies to arrive and slowly increase the length of the production run (as they save up more money and get access to trade credit).

This is because I estimate they have allocated $7.5m from their last capital raising for ATC. If their partner contributes their fair share, then that would mean that ATC has $12.5m. After subtracting the purchase of the liner - that leaves enough money to feed the furnace for 10-12 days.

Idling the furnace for most of the year should be feasible. As the major costs are feedstock, conversion costs (guessing electricity and such) and transport. None of which are used when the furnace is idled. Labour costs are ridiculously cheap. The 100 Vietnamese workers should cost them no more than $150-200k / year. Which is nothing considering it costs $700k / day to feed and run the furnace.