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Gold/Mining/Energy : ZINC The base metal. News and Views. Symbol Zn -- Ignore unavailable to you. Want to Upgrade?

To: E. Charters who wrote (1083)	4/2/2006 10:46:06 PM
From: TrueScouse	Read Replies (1) \| Respond to of 3270

Thanks for the estimates EC. I really think that PAX has tremendous potential given the massive tonnage at Howard's Pass, the grade of Zn (and Pb credits) and the current metals prices. I always like to use the KISS system and do "back of the envelope" estimates to estimate the potential value of a stock... e.g., - 20 billion lbs of Indicated and Inferred Zn at $1.40 CDN = $28 B. - Assume future value of company = 5% of metals in the ground = 0.05 x 28 = $1.4 B. - Total shares out (FD) = 79 M. - Possible share value = 1,400/79 = $17. So I see PAX as an easy 20-bagger from here! <vbg> Just in case anyone thinks the current zinc prices are a short term thing, you should check out this excellent review of the long-term supply/demand situation. The charts look a lot like a "peak zinc" situation to me! pacifica-resources.com Regards, Howy