20.9% of esg , page-4

they have debt
net debt around $20-22m at a guess.


Ive done some figures on the ESG holding

HGO has 153,723,529 ords, 24,250,000 opts and 3,540,000 conv notes in ESG.

That gives them a total holding of 181,513,529 shares.

at a recent figure of 55cps in ESG

= $99,830,000m - minus cost of option conversion (15cps) or $3,637,500.

so fully diluted holding at 55c is worth $96.19m to HGO.


HGO MCap at 10c = $34.1m + net debt = approx $55m

so you get left over Kanmantoo Copper, all tenements, and 85% of IIT free and a cool $41m cash!!! to go.

If ESG get a takeover, expect similiar to PES, ie another 100% on SP...or north of $1 per share

so HGO should be the recipients of a cool $200m if that unfolded in 09
if it doesnt, then HGO still have a great investment that will get stronger as they prove up the 1300PJ of 3P


The upside based on cash alone could be 50cps or 400% gains.
very nice leverage into ESG



Disc: added another 50,000 at 10c today