Biomass Secure Power Inc. (BMSPF)

[PhillipD]

Valuation for Biomass Secure Power Inc.
I posted something similar some time back, but I thought I'd update the numbers of my valuation of the Company. The "Sales Metrics" were taken from the "Metrics and Costs of Torrefaction of Wood Wastes" section of this article then converting metric tonnes to short ton (a factor of 1.102).

Sales Metrics
Sales Price= $233.93 Per Ton
Production + Delivery Costs = $149.00 Per Ton
Margins = $84.93 Per Ton

Shares Outstanding = 599,991,908

Phase 1 Only:
Margins on 1 Million Ton/yr= $84,928,571.43
EPS= $0.14
If P/E=5, share price = $0.71
If P/E=25, share price = $3.54

All 4 Phases:
Margins on 4 Million Ton/yr= $339,714,285.71
EPS= $0.57
If P/E=5, share price = $2.83
If P/E=25, share price = $14.15

Unfortunately, the one wildcard in this is the Montreux qualifying transaction will have Montreux issuing new shares which I belive will have some dilution to the final postconsolidated shares. Seeing that Montreux only has 2 million common shares compared to, BMSPF's 599,991,908 outstanding shares, I believe the 1:10 split is to get the companies more on the same par with their outstanding shares. I'll update this again when there is clarity on the final number of outstanding shares.