VAUGHN, I followed PFN for 2 years before buying in. Anglo's $5.3MM in new money was the catalyst I was looking for. Recent results have been very encouraging, and I see no reason for them to not continue; although I'm no geologist.
Without sounding too goofy/promotional, I think the likelihood of PFN establishing significant reserves, possibly similar to PDL's, are 50/50. If they even reach 1/2 of PDL's reserves, PFN's market cap should be around... 35% of $150,000,000.... or $52.5MM. This number is derived from their 35% interest in the property, on 4MM ozs, and a PDL market cap of $300MM. It doesn't take into account PFN has no debt, and PFN has more Pt in their ore.
If you figure between 28-35MM PFN shares (I expect more PFN shares to be issued along the way, but I could be wrong), we're talking PFN stock valued at $1.50-$1.90/share. Add some hype and over exuberance, and who knows, maybe $3-$4/share. Or better yet, maybe 8MM ozs like PDL.
Anyway you slice it, PFN is looking pretty good. It will be a very interesting play over the next year.
Best of luck,
JT |
