Orga, have a look at the value calc below. I like both ERO and...

Orga, have a look at the value calc below. I like both ERO and MXR, but MXR is a better value proposition. Either way they are both winners IMHO...

This is all posted in the MXR thread. Best to keep MXR discussions over there, otherwise pussycat gets upset :-)

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MXR's Value at 9/5/7

44.4 Million Shares in ERO (at 75c) = $33.3 Million.

ERO is worth approx $94M (125.4M shares x 75c) and hold tenemants with MXR, and own 70-50% of them.

ERO with the $14 Million cash, they have to spend $7M on the Marree Project before MXR spend anything. And also have to spend on money on the other JVs...

So using a conservative 70% JV (ignore Billa Kalana at 50% and assume 70%, and a $4M cash discount), MXRs 30% should be worth at least.......

70% = $94M, 30% = $41.5M

Fully diluted MXR have about 107 Million shares (33 Million Options, raising about $6 Million exercise)

Then they have their own projects, Gold, U and Nickel(Including Sellheim with a projected $10M cash profit a year).... Plus cash.

So, On a pure asset value IMHO....

ERO shares = $33.3M
JV ground = $41.5M
Projects & cash = $10M (very low value IMHO)
Cash from Options = $6M

At a pure bare minimum, a fully diluted value of $90.8M (divided by 107 Million shares) is about 85c a share.

85c a share is the absolute bare minimum the stock is worth based on no upside and just its assets.

An actual fair value is probably closer to the $1, and if Sellheim can become the 20,000 oz production, (with a $10 Million profit, and actual producing this year), a SP of $1.50 is starting to look low...