And this following post shows how figures were plucked out of thin air, no regard given to whether that much gold was there, whether it could be recovered economically and all the myriad of factors that need to be considered, no just pluck out a few numbers hoping fir some new fish to take the bait.
'Given that it is highly likely that FNT are about to announce a "maiden" JORC mineral resource for Saki and based on the premise that there are 500,000 ozs of gold at Saki (Newmont Mining's estimate) and using an "in-the-ground" value of only A$50, Saki is alone worth A$25 million to FNT. If you add FNT's cash of A$5 million, FNT's intrinsic and/or fair value is therefore currently A$30 million (3.64 cents a share). Having said this, valuing FNT entirely on the value of Saki alone, as well as their cash reserves, would be grossly negligent. Therefore, I will give you my current overall valuation of FNT (for all of their projects).
Tolukuma EL2531 Gold Project. This tenement (in PNG) which is 100% owned by FNT, surrounds the Tolukuma Gold Mine ML104. Tolukuma lies 70 kms north of Port Moresby. A new owner is currently being sought for ML104 to refurbish the mine and resume operations asap. Given the close proximity of all four of FNT's Tolukuma prospects i.e. Saki, Kunda, Kimono and Taula and given the already highly promising soil, rock and trench samples (although no drilling has yet been undertaken at Kunda, Kimono and Taula), it is highly likely that FNT will focus on developing each of these prospects, with the view to supplying gold ore as a "mill‐feed" to the Tolukuma Gold Mine ML104 (once it has been re‐opened). On this basis, I see the FNT having a fairly low level of Capex as they develop all four of these prospects. This low level of Capex is a major advantage for both FNT and its shareholders, as it reduces the number and size of future capital raisings in order to develop Tolukuma.
Saki: 500,000 ozs at A$50 per oz in the ground = A$25 million
Kunda: 500,000 ozs at A$50 per oz in the ground = A$25 million
Kimono: 500,000 ozs at A$50 per oz in the ground = A$25 million
Taula: 500,000 ozs at A$50 per oz in the ground = A$25 million'
Btw the jorc for Saki came in at 128,000 oz not the suggested 500,000!
So after this wrap by Wonderboy FNT abandoned PNG completely, pity they'd be set if they'd just hung in there and listened to wonderboy.
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