Given what the MD has said publicly, Toliara is lower cost with similar value basket so its closer to 3 to 1 already. If what I've heard about the output tonnes are close to true, plus LOM and assuming some reasonable extensions to Kwale, then once Toliara is past capex spend and running full tilt, BSE would be likely a $750m to $1b company. Long life assets like Toliara earn premiums in valuations so multiples should trade higher than BSE with just Kwale. The nuance is capex and timeline, as those are key to determining cap structure to fund Toliara. Working out the mcap value is useless if you're diluted heavily to get there. Putting in lots more money to get the same outcome makes for a poor investment.
BSE Price at posting:
31.0¢ Sentiment: Buy Disclosure: Held
(20min delay)
