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Gold/Mining/Energy : Canadian Diamond Play Cafi -- Ignore unavailable to you. Want to Upgrade?

To: james flannigan who wrote (2639)	3/13/2005 1:31:35 PM
From: WillP	Respond to of 16206

Jan also said the TIGs will not sell out cheap,he said 3 large shareholders have the controlling vote and will not sell for a penny less that what they think the stock is worth. That's of course their prerogative. On the other side of things, nobody is twisting the arms of your hypothetical buyers. Just for the record Debeers paid C$22.00 per ton for Snap. Well, they paid about $480-million for Snap. That implies that they bought 21 million tonnes. as you may recall, the total tonnage estimate runs up to more than double that. De Beers claims an indicated resource of just 14 million tonnes, with an added 17 presumably inferred, although its mine plan included only 20 million tonnes. So, let's use the latter figure. That implies, using your $22 per tonne figure, that Mountain Province's share of the project would be worth $160-million, or about $2.90 per share, fully diluted. A key problem however, is that the Snap Lake rock is supposedly worth more than that at Gahcho Kue. Wouldn't a lower figure therefore be warranted? Regards, WillP