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Gold/Mining/Energy : Gold and Silver Juniors, Mid-tiers and Producers

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To: koan who wrote (44864)7/14/2007 2:10:33 PM
From: jackjc   of 78417
 
Take the total recoverable ounces of metals times the price that
banks would accept as long term metal price projections (can find this in the
reports published quarterly by RBC, CIBC, USBC, etc). Then take a percentage
of this based on factors and costs of the particular property.

As you get through scoping, to pre-fease, to fease, these mining
and capex costs become clearer, so this early valuation is just a
very rough seat of the pants type thing.

One thing I look for is jrs knocked down and crippled in price
for other reasons, as GGC was at .70 due to the lawsuit, SPM was
at .36 due to negative sentiment, CUU at 36 due to heavy flow-thru
selling, and biggest of all MMG at .80 due to holders driving
down the price to get a cheap PP, etc.

I rarely buy any jr that is already in the limelight.
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