laf undervalued big time!!!!

NPV as calculated by covering brokers for their rapu rapu mine is AUD$100 million. LAF owns 59% which equates to approx 19 cents per share. Stock currently at 8.4 cents.

Financing is expected to be finalised very soon and construction will commence in april. first gold pour in 2004. As with the OXR experience, substantial re rating is expected on financing approval because that is one risk which will be removed thereafter.

Soveriegn risk still remains but the project is on a isolated island so its operation is rather like that of LHG. Nows the time to buy with good chances of doubling your equity and more. Nett profit forecast at 15 million per year for 303 million shares. i.e 5 cents per share.

Good potential for underground mining to increase reserves. mine life currently around 7 years. There is no way the share price will stay at 8.4 cents. Major shareholder is LSG holding 32%. I note they are also major shareholders in IRN and MIM has an option to buy into IRN. IRN is also another one to watch as it has a massive massive undeveloped copper gold mine in the phillipines.

i hold LAF.

cheers skippa