Silicon Investor (SI) -- The First Internet Community

STOCKTALK

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor. We ask that you disable ad blocking while on Silicon Investor in the best interests of our community. If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.

Gold/Mining/Energy : ARP - V Argentina Gold -- Ignore unavailable to you. Want to Upgrade?

To: Naan who wrote (2774)	2/16/1999 10:11:00 PM
From: Mr. Oil	Read Replies (1) \| Respond to of 3282

Well Naan you summed it up pretty well there. Kind of like a 3 pointer I would say. 1. Value is there and growing...2. Price of the stock is cheap and getting cheaper.... 3. Barrick will have it when and how much is the question we are waiting for. I have no argument with you there! They will have to be a little more friendly than they were last month though. $10 might be acceptable. But the drills are still turning hmmmmmm! Ray

To: Naan who wrote (2774)	2/17/1999 8:19:00 AM
From: Enigma	Read Replies (1) \| Respond to of 3282

" I'm also betting that Barrick is buying at these prices" Unlikely - for all the reasons of disclosure discussed on this thread. Don't you think $50/ounce is very much at the high end of possibilities - also where do you get $8 million ounces?? dd.

To: Naan who wrote (2774)	2/18/1999 12:56:00 AM
From: Claude Cormier	Respond to of 3282

<<Approximately 8 mil oz of gold equivilant @ 50.00 net (a reasonable price), = 400 mil market cap x 60% ownership = 240 mil market cap (and growing), ÷ 38.7 million shares = 6.20 per share. >> Don't forget that if you are using US$50, the market cap in CDN becomes $360M instead of $240M for a stock price of $9+ IMO you are way to generous... US$40 for proven is the number used this day. It is very normal as the average NA costs of producing a ounces is US$240. When gold was $375-$400... the juniors were priced at roughly US$140 per proven. Now that gold is down $100, They are priced at $US40 per proven. Since ARP still only has a resource and it is too early to tell what might be the costs... I would not use more than US$30. As well, keep in mind that 37% of the resource is silver. Recoveries for silver are usually below 60% and often below 50% in these type of deposits. USing 8M ounces gold eq. is overly optimistic. I would go with 6M-6.5M ounces of gold EQ. Max. CC