Hey there Donkeyman,
I was just recalculating the Gold values from Hammerdown
Quote from St. John's, NF. News Paper (E.T) October 15th, 1998 :-"Major General Resource's Hammerdown gold deposit on the Baie Verte peninsula is graded at about 18 grams per tonne over 614,000 metric tonnes, and is expected to be an economically viable deposit" Let's hope they top over 1,000,000 metric tonnes before this year is over.!!!
18 grams X .032= 0.57 troy ounces per tonne
614,000 X .57= 350,000 ounces so far
If we allow U.S. $50.00 per ounce for in ground current value
350,000 ounces X $50.00= $12,500,000.00
$12,500,000.00 X 1.5= Can $18,750,000.00
I am not sure what the JV arrangement is here.
18,750,000/ 35,000,000 =$.535 per share in situ Gold value on Hammerdown alone. The Hammerdown deposit could grow some yet. Any increases in POG will be very positive. I understand that production costs could be very economical so U.S. $50.00 per ounce could be very conservative. There should not be much downside to MGJ.
Diamonds, nickel, base metals, more gold in Ontario, and what ever else is a bonus. It could be a very good year for MGJ.
Feel free to check my numbers and assumptions. If there is a JV, what is the % arrangement? I haven't been able to log on to the MGJ site over the weekend. |
