bought more at 50c today as well. that NMPP has to be worth 25c and Tomie 30c as worst-case scenario. if I am right and ALK does get $100m - $150m for JV at NMPP and to retain 20% - 25% stake while the JV partner to fund rest of the development then NMPP will end up being worth lot more than 25c considering where ALK trades now. 20% of NMPP is about 60Koz of yearly stake for many years. That is same to have second Tomie running for ~35 years. Not sure why some call it bad deal and want 50% where ALK will need to cough up funds for the development. I can't see JV where the partner will agree to 50% stake and to fund the development and to also pay ALK around $100m finder fees. The grade is not there - unless ALK makes another discovery and adds another 5-6Moz at around 0.8g/t AuEq.
ALK Price at posting:
51.8¢ Sentiment: None Disclosure: Held
(20min delay)