Just some food for thought and thinking out loud.
Northam is expected to supply 3000 households for 25 years. I don’t know about you all, my Electricity Bill averages about $600 a Quarter.
Can we estimate the value of this project then at 3000 x $600 x 4 = 7.2 Million Turnover per year
We could also assume 7.2 x 25 = 180 Million revenue for the life of the project.
Then CCE x 50% stake = 3.6 Million per Annum turn over x 10% profit (guess at a good return, maybe this is way out) = 0.36 Million profit per annum.
Plus there is LGC’s etcetera to factor in.
Plus the Construction fees and Nanagenent payments to CCE
Just trying to grasp exactly what 10MW Northam project means to CCE. It looks like we will need many multiples of 10MW to have a more positive impact to SP.
Thoughts all ?
CCE Price at posting:
3.9¢ Sentiment: Hold Disclosure: Held
