$207m market cap

There's been a few posts on where DEG could get to in market cap in future, some more optimistic than others. But what are the views on where its market cap is now? Obviously at $207m it is a big jump on a month ago and people are buying in on the speculation that Hemi is going to be a fantastic find. But an in-the-ground valuation for DEG's current market cap doesn't look completely implausible: on industry standard metrics you can make the case that the market is pricing in a resource of about 2.8m ounces (A$207m/A$75 an ounce of gold in the ground = 2.76m ounces).

DEG already had a resource of about 1.7m ounces and we are waiting for a resource update from the work that was going on before the Hemi discovery. A good result could be a 300,00-500,000 increase in resource estimate from that, maybe? That implies that the market is counting on Hemi to make up the difference in resource ounces. Anyone got any ideas on a potential number based on the initial results from Sections A and B?