significant upside, page-29

Doudou
Assuming reserves of 1mil ounces which could prove very conservative considering resources of 1.2mil. The company is currently trading at around $13 an ounce excluding cash and other assets.

If RAU put Amayapampa on the market there would no doubt be a surge in the shareprice as investors would see the potential for a quick return which would take most of the sovereign risk out of the equation. With a pre tax NPV around $700mil based on the old figures and the current gold price, an increase in reserves could significantly increase that figure.. potential NPV around $700mil after tax???
A sale price equal to 1 years NPAT would be around $75mil. =appr 2cps. Would someone be willing to buy based on a forward PE of 1???? Lets say PE.5 = 1c and it will be 150% upside from here.

Would Pattos investors who picked up shares at.5c in the recent share issue be happy with 1-2c??? You bet they would..
Cheers