*** $25 billion resources ***, page-85

re: *** massive rerating * look at it this way *** EyesCoffee,

Underneath my reply is what I posted. I think I made a mathematical error.

It should be:

Divide the number of issued shares, approximately 106 million into $27 billion worth of gold and copper and it is more like one share gives you $250 approximately of gold and copper. Therefore two shares which cost $1 gave you $500 worth of gold and copper.

That still means just a $2,000 purchase of TYC gave you one million dollars worth of gold and copper assets.

There are of course numerous variables. Commodity prices, the BHP clawback terms, future issues of shares, development cost, more discoveries etc.

But if $2000 gives you one million dollars worth of gold and copper then it looks like a huge bargain.

SP.

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I posted the following:

Let's have a look at how undervalued TYC is.

TYC currently controls a rapidly expanding resource of 12 billion pounds of copper and 9 million ounces of gold.

At US$1.45/lb copper the copper is worth US$17.4 billion. At today's exchange rate that is worth AUD $22.15 billion.

At US$422.50 the gold is worth US$3.8 billion. At today's exchange rate that is worth AUD $4.84 billion.

So the resource is then worth: $A27 billion.
Market Cap is just AUD $53 million.
So, for $1 market cap we get $ AUD 1,075 of copper and gold.

What a phenomenally high number! Over $1000 of resources are bought for each dollar of market capitalisation!!

The gold equivalent of TYC's resources is also like having a gold resource of 61.5 million ounces!

* BUT ALSO LOOK AT TYC THIS WAY * :

A AUD $6 increase in the price of gold increases the in ground value of TYC's gold by more than its current market capitalisation!