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Gold/Mining/Energy : Gold and Silver Mining Stocks -- Ignore unavailable to you. Want to Upgrade?

To: Claude Cormier who wrote (991)	5/16/2001 10:31:38 AM
From: TrueScouse	Read Replies (3) \| Respond to of 4051

Claude: I've just reviewed the Cumberland Resources annual report and it reminded me what an excellent company this is. Sometimes when you hold something for a long time you forget just why you bought it in the first place! What amazes me is the extremely low value the market is placing on CBD's gold in the ground. From what I can see, CBD now owns about 3.7 million ozs, with 100% ownership of 2.5 million of those. This total should increase with the current round of exploration as the new Vault deposit is open in all directions. These resources are low cost and in a location with very low "country risk", compared to most major deposits in the world. Meanwhile, CBD has over $4m. in cash and other investments. With a current market cap of only $22 m., that implies a valuation of only $18m. for 3.7 m.ozs of gold, or $4.80 (Can.) per oz. This is is just over $3 U.S. per oz! What would be the value per oz of a deposit like this in a normal or "healthy" gold market -- at say $350 POG? Do you have any guidelines or ballpark figures for "valuation per oz" for different types of deposit and varying POG? Does anyone have a convenient "table" that shows the normal ranges? TIA, Howy