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Gold/Mining/Energy : A to Z Junior Mining Research Site -- Ignore unavailable to you. Want to Upgrade?

To: Elizabeth Andrews who wrote (227)	6/20/2002 1:20:14 PM
From: 4figureau	Read Replies (3) \| Respond to of 5423

SML and NGX: I read somewhere that last summer...both Northgate and Homestake made a visit to Stealth's property. This got me to thinking about the future of both these plays, considering the outrageous price that Placer is willing to pay for Aurion. As you know...Placer is offering US$200 per reserve ounce and US$56 per resource ounce for Aurion. Stick with me on this...:) Other recent buyout prices: - AngloGold paid the equivalent of US$145/oz and US$48/oz for the Acacia Resources reserves and resources - Barrick Gold paid US$100 per reserve ounce and US$64/oz per resource ounce for Homestake Mining - Newmont Mining paid US$102/oz and US$46/oz for Normandy Mining's reserves and resources A few statistics on NGX and SML: NGX Northgate $1.80 Market Capitalization 126.6 Mil (as of Yesterday) # of Shares Outstanding 69,974,855 - Raising $290 Million in last 6 months - 15 Million ounce gold equivalent resource - 275,000 ounce per year - Inferred resource of 5.7 million ounces of gold - Reached a 3 year agreement this week with approximately 300 production and maintenance employees SML Stealth $0.23 (edit 0.25) Market Capitalization 6.4 Mil.(as of yesterday) # of Shares Outstanding 32,109,560 - Raised $5 Million over 5 years - 5 Million ounce gold equivalent resource - Property 5 KM's away from NGX's mill O.K. I see NGX as a likely takeover target over the next few years. Sure they are diluting like crazy...but if they can get US $50 or 60 dollars per resource ounce..that should make a further 5 million ounce feed from Stealth quite attractive. If SML can discover a few more zones, which is quite likely..they may be a takeover target on their own. The question I have is...who would be interested? NGX? or someone else? Paying .20 or a little more to find out seems very cheap. SML paid about a dollar an ounce to prove up their resource..and plan on spending 3 million more (can they prove up 3 Mil. more ounces?(G)) over 2 years. Hopefully, they will step up the program based on what is going on around them. Thoughts?