mas undervalued - update

Please find below an interesting evaluation of the MAS Share price compared to the only other Public Sole Mn Miner in Australia, OMH. Updated 21 May.

OMH
Current Share price $1.635, Shares on Issue 490,935,150
Market Capitalization $M 802
So for Full Yr 648Kt @ 38.9%Mn
Market Capitalization per Tonne product sold $1,238 per annum at 38.9%Mn

Mesa Mining JV
Looking at the Mesa Minerals / Auvex - Joint Venture
From Published reports, production is planned at 350,000 tpa
From press releases, the 2 shipments (Nov 09, Jan 10) averaged 37.5%Mn
So the ore grade is similar to OMH

Lets factor the Market Capitalization per Tonne product sold by the ratio of the product grades $1,238 * 37.5/38.9
= $1,194 Market Capitalization per Tonne product sold

If we take Mesa JV production 350,000 tonnes at $1,194 = $M 417.94
But it is split 2 ways (Mesa Minerals 50% + Auvex 50%) = $M 208.9 each

Now Mesa Minerals have 617,270,831 shares (21 May)
So valuation per share = 33.85c per share
Even given a 50% discount to the above valuation = 16.93c/share

Conclusions
1. The current offer by Mineral Resources is woefully inadequate and opportunistic
2. The current Board is selling us out when they should be getting on with the business of operating a mine and selling manganese
3. We need a change in management to realise real value for MAS shareholders.
4. Vote No to Mineral Resources offer and
5. Vote Yes to the Requisitioning Shareholder vote to Replace the Board on May 28.

Just my thoughts
Do your own Research