presentation, page-9

I think they're being cautious. A lot of water has to flow under the bridge to get to that magical 100000 oz/annum. Also don't forget they have to invest a fair amount of capital at sweeden and jokisivu in the order of 10 mill (total) to get them fully operational. Then take out a few mill for exploration and the free cash is down to 22 - 23 mill. Divide by 760 and esp is around 2.8 - 3c. Using a multiple of 7 (usual for miners) and I get a valuation of 19 - 21c. Bear in mind that this gives no valuation to eritrea or northern finland.

Because Chalice is now aggressively going to push forward a valuation of at least 2c is warranted for that asset. So I'm now at 21 - 23.

If they get a JV partner for Hanhimaa then they can look to put a value on it, but too early yet.

As for their other non-producing assets K and K are together worth about 1.5 - 2c.

Therefore I get a valuation of 22 - 25c. That's based on 80000oz. Now if they get a partner for Hanhimaa then I could stretch it to 24 - 26c but not before. IMO. The companies own valuation came in at 18c. But they are as proven ultra conservative.

Note, to get the valuation of non producing assets I gave a valuation of $60 - 65 per oz

heers