hi aurifice,Not sure how you arrive at 47-48cps fair value. 15M...

hi aurifice,

Not sure how you arrive at 47-48cps fair value.

15M new shares issued and company advised this will represent 13% of total shares on issue when completed.

i.e. total shares on issue = 15,000,000 / 0.13 = 115,384,615

Market cap = (15,000,000 x 0.55) + (100,384,615 x 0.34)
= $42,380,769

av/pps = 42,380,769 / 115,384,615
= $0.36

So the premium of the new shares issued is offset by the dilution plus the fact that the new shares only represent 13% of shares on issue.

All up, we get ~6% increase in fair value so currently undervalued 6%, not including any positive upside from scoping study, which is obviously possible.