Looks as if SLR costs as per their June 2010 quarterly were approximately au $720 per ounce however whether that included depreciation/amortisation is not clear to me,it was fortunate that the gold price was high so that the gold could be economically extracted.How long this will last is open to opinion.If one takes a profit and positive cash flow per ounce of say $500 with their 2,500,000 resources that means the current fully diluted market cap could rise 2.8 times in theory.
However if one takes the same basis for RMS I calculate that with the mix varience on their two mines taking into account the reserves in one of their mines their fully diluted market cap could rise say 10 times, so that leads me to believe that the current SP of SLR is no where near as attractive as that of RMS .Please carry out your own calculations as mine are not fully accurate.
I understand that some posters may have woken up to this and moved on to some degree at least. I believe in investing in the share with the best ratio, why not make as much as possible instead of diluting oneself.
Do Not pay attention to me as My post are not financial or other advice to anyone. I do NOT give advice.Everyone should do their own research and take professional advice.
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- over priced sp compared with rms imho
over priced sp compared with rms imho
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