Ann: Gold Forum Europe 2024, page-213

Dublin11,

I agree entirely. The income stream at a standard producer P/E ratio justifes a far greater price, and for that matter if develped by Alk for it to have a price in the $3 billion range.

Currently, in my view Alk is underpriced by a multiple of about 2 based on its non-cash assets. However, others may have different approaches to valuation (I'm a Graham and Rule advocate).

But here's the thing, when gold and also silver take off, and attract index funds and instutitions, it tends to lead to irrationality. Companies like Alk for gold (or SVL and a couple of gold stocks for silver) can reach extraordinary prices, even without full development. This is what has happened in several cycles from 1970's onwards. The issue is whether we at at that point.

So for me Alk:

(a) has low downside risk;

(b) has very significant upside protential even in the current market;

(c) has extraordinary potential if this and the next 6 months is the true upward pivot for gold.

Equally, others may wish to take some risk off the table given the uncertain times ahead geopolitically, and I understand that too. As it happens I favour a cash reserve lest the overall market crash, to pick up bargains. But I have a far greater percentage in share because I am no good at timing the market.

GLTA.