Ann: Investor Update - August 2017, page-87

Just-a=guy. A PE of 5 is not only conservative, it is far too low for a share of AJM's quality. For mining companies, PE calculations are relatively straightforward. The PE = mine life from current recoverable ORE RESERVES ("MLOR") - no of years to pay back any debt from annual forecast earnings over the mine life. AJM's MLOR equals 19 years and its debt will be repaid in 2 years. Hence the theoretical maximum PE applicable to AJM is 17 times. To be conservative I would normally discount by 30% to give a working PE of 12 times. This is a sensible PE for AJM.