resource lb valuation, page-5

You may need to take into account that Ags holds only a 25%interest. However the valuation on the Ags thread last week used a A$15 in ground price for the existing resource of 32mlb and now we have 61mlb so the Ags share of that is $228m and if combined with the cash balance would give a valuation of about $.80c. Everyone expects the resource to total out much higher than this - perhaps with yesterdays announcement we might expect more than the previously mentioned 110mlb - but this figure along with cash would value out at $1.33.I think $15lb in ground may be a bit high especially with Heathgate taxing us over $12lb, and we may have a lot of trouble getting the upgrades through Heathgate, but in any case the value is well north of 69c. We also have the rising price of U and the potential for the project to ramp up more production in earlier years so drastically altering the economics in our favour