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Strategies & Market Trends : Winter in the Great White North -- Ignore unavailable to you. Want to Upgrade?

To: marcos who wrote (7398)	1/7/2008 10:56:37 AM
From: tyc:>	Read Replies (1) \| Respond to of 8273

I made a quick comparison between two heap leach stocks this morning, both of which are of interest to you; "XXX" versus MR but ignoring La Fortuna completely. I know you hate PM's so here it is on a public forum. XXX has resources (including reserves) of 3,562,000 oz of gold. FD market cap is $603,944,183 @ $3.90 per share. However the balance sheet shows $51M in debt and a hedging book liability of $27M. Because we are using 100% of the quoted resources, these liabilities should be added to the FD market cap, raising it to $681,944,183. For every $1,000 of market cap there's 5.22 oz of gold resources. MR's CSP resources, which include reserves, total 2,033,000 oz of gold plus 75,660,000 oz of silver. that's a total of 3,284,000 ounce gold equivalent at 60:1 ratio. FD market cap is $611,524,000 @$5.15 per share, so there's 5.33 ounces of gold equiv. resources for each $1,000 of market cap (@5.15 per share). Caution: It sounds hard to believe, and what seems unbelievable probably is so.