Ann: Corporate Presentation , page-13

It's pretty hard to say what the potential share price will be- I think this is one that you really should be thinking of holding for 2-3 years to realise the full benefit. I can say that the risk/reward is very favourable at these prices (I have certainly been buying all week):

Our current EV is 130m or thereabouts
We have company forecasts (that most posters here think are conservative)
EBITDA 2012- 25m
EBITDA 2013- 40+
So trading at very reasonably EV/EBITDA multiples.
We know that the basis of these forecast revenue figures is a relatively conservative pricing mechanism for the mineral sands, and that supply will be tight for the foreseeable future.

The main risks are:

Short term:
- very much operational- as you can imagine with a start-up mine of any sort. If you take a long-term viewpoint though, we are very unlikely to require further capital injections on the basis of the information we have to date, and this is a long-life mine/project.

Long-term:
- mineral sands pricing

Favourable risks for this company are:
- location (no sovereign risk)
- strong balance sheet
- good fundamentals for mineral sands pricing
- priced pretty cheaply.

The upside is:
- higher pricing:
Zircon is almost definitely going to be higher than the assumed figures, but most of the upside will come from successful branding of the Spherichrome with uptake from foundries. There is certainly a lot of upside here, I can't honestly say what the price could be.

- future addition of new minerals (this is probably a few years away)

- Ferrichrome production (this is probably a few years away)

As you can see- a lot of the rewards would be reaped in the long-term, and its honestly too difficult to make predictions. I know RBS Morgans have a research note on the website with a target in the mid 30s as a starting point.