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Gold/Mining/Energy : Global Platinum & Gold (GPGI) -- Ignore unavailable to you. Want to Upgrade?

To: Thor Carlsen who wrote (12209)	11/6/1999 10:18:00 AM
From: Thor Carlsen	Read Replies (3) \| Respond to of 14226

RICHARD E. JENSEN, CEO of GPGI, fails to communicate with the shareholders or the pilot plant is not happening and he is ashamed to comment on the failed 3 week pilot plant. Doug, perhaps this post below came from the "baby" that Jensen threw out along with the bath water over 3 years ago. The most educated person on this thread regarding the "process of metal" doesn't own the stock, why? <<< I have recently completed reviewing information from GPGI. The quantity of upgraded ore is 600,000 tons. Each ton contains at least $3000 of recoverable precious metals. Thus without counting the 15,000,000 tons of of precious metal bearing ores (not yet upgraded) and additional available properties, we can put a value of $1,800,000,000 on that single pile. If we assume that over the next three years GPGI will be operating at just 100 tons/day we obtain annual sales of $90,000,000. Their gross margins should be well in excess of 50% (since they need not mine nor size reduce the ore, but go directly to their selected extraction process), and they are operating with an extremely low overhead. Lets take out another 20% for royalties and depreciation on future equipment for expanding the operations to 1000 tons/day, and setting up the infrastructure for future evaluation and mining of the site that contains the 15,000,000 tons of raw ores, and we get $27,000,000 in pretax profits or about $2.45 per share. Let's cut this in half for taxes other expenses and we get a very conservative earning estimate of $1.20 (very conservative, since they must have a pile of carryforward losses from the last ten years of development). Since GPGI profits will grow at least at 30% per year over the next five years, a fair and conservative PE of 20 yield a stock value of $24/share. This evaluation assumes no value for "assets in the ground" and options on the old Ore Grande and Weaver Creek sites, and of course no value on the 15,000,000 tons of ores at the Hassayampa Project's site. I would welcome any comments from the experts on this thread as to the valuation I have tried to calculate. Personally, I think that within 5 years (once the production rate is at 1000 tons/day), the valuation could increase another five fold (once again conservative assumptions, since by then the costs might be higher since they will need to add the step of upgrading the ores). >>> The above post is from the most honest man on this thread. Metal is there CHUCA!!! Why can't we get it? IT is my fault Jensen can't do his job? Really? Metal is there! Purge the babbling Jensen and we will succeed! JENSEN is the failure. GO GPGIe!!