Lillian
I found the information I was looking for, it is back on post 1723. If you take the numbers mentioned there, with a profit of $600,000 per day for Kensington's shares for the next 91 years working 365 days per year, only processing the 5 best Kimberlites, and not even looking at the other 66, you come to a profit of $19,929,000,000. Divide that by 23,976,435 shares you come to a value of $831.00 per share. Bear in mind that there is a belief that only 1/5 of the diamonds have been showing up because of 80% of the tracers being lost down the hole and you now have a value of $4,155 per share. Of course to bring this mine to production they will need a lot more money. This means more shares will be issued via flow through which will dilute the value of the shares, but I think that $30.00 per share is pretty conservative. It is no wonder there is such interest in this property.
By the way, I heard a rumor that Kensington is mentioned in DeBeers annual report for the 1st time. I don't get their report, so I can't confirm this, but if it is true, this is also very encouraging.
Thanks,
Mike G |
