Global | Mining | TSX:NCU
potential C$70-75 mln of value uplift?
Refinancing during 2018 restructured and simplified the balance sheet. Further balance sheet optimisation opportunities exist. C$7mln of annual interest savings are possible.
Selling concentrate domestically rather than internationally could save C$5mln in freight costs annually.
Potential C$12mln of combined annual savings on a cash-flow multiple of 6 times, implies C$70-75mln of value uplift.
The underground mine is 25-30% complete and remains on schedule to produce copper and cash flow in Q4 2019. An upcoming transformation from a developer to a producer provides a likely catalyst for a share price re-rating.