The Investment Doctor
Long/short equity, value, debt, base metals

Allana Potash: Why The Unique Characteristics Of This Project Make It Survive My Stress Test

(Editor's Note: Investors should be mindful of the risks of transacting in securities with limited liquidity, such as ALLRF. Allana Potash's Canadian listing AAA.TO offers more liquidity.)


In this article I'll have a closer look at Allana Potash (OTCPK:ALLRF) which aims to develop its Dhanakil potash project in Ethiopia, Africa. As the potash price plunged since Uralkali blew up the potash-cartel, Allana's share price went into a free fall, dropping to just $0.31 for a market capitalization of $110M at this moment. As I doubt the potash price will remain at the current level, I'll be looking to determine the fair value of Allana at a slightly higher potash price as a base case scenario, but lower...

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