Macquarie is encouraged by the economics of the Carrapateena expansion study. The increased production, due mid next decade, will more than offset the decline in output that is forecast from Prominent Hill.
Project completion and first production is on schedule for the fourth quarter of 2019. Updated expansion or development studies on all of the remaining core projects are expected during 2019.
Macquarie maintains an Outperform rating and $12 target.
Sector: Materials.
Target price is $12.00.Current Price is $10.37. Difference: $1.63 – (brackets indicate current price is over target). If OZL meets the Macquarie target it will return approximately 14% (excluding dividends, fees and charges – negative figures indicate an expected loss).
