Thanks for that.Yes, the original $10 cash as proposed was'nt...

Thanks for that.

Yes, the original $10 cash as proposed was'nt too far off provided Summit gets the go-ahead:


Subject: re: the big drums are starting up for smm
Stock Code: SMM - SUMMIT RESOURCES LIMITED
Posted: 27/02/07 13:56 Hotcopper Radio: SMM on BoardRoom Radio
Posted By: stolwyk Views: 256
Post #: 1597058 (In Reply to msg #1596807 from DABRU) Voluntary Disclosure: Stock Held

"Taking it another step further, the fully diluted SMM shares are about 202 mill, share price AUS$5.03 or the market cap is AUS$1016 mill.

There could be some 100 mill lbs of U, or one lb would cost 1016/100=AUS$10.16 or US$8.06 (0.7935)

Very cheap buying considering the PDN transaction is in paper and that one lb of U=US$85 (With more to come IMHO)".
++++++++++++++++++++++++++++++++

1 March 2007: Assuming the SMM share price is 2*AUS$5.03= AUS$10.06 means that PDN will pay 2*US$8.06= US$16.12 per lb of U resource compared with the current price of US$85 or 19% with more Uranium price rises to come and the new additional tenements to be drilled.

That compares very well with your post and Edney's statement:
"Paladin's bid for Summit "makes sense and adds value," Edney said Tuesday. The offer looks "cheap" in terms of dollars per pound of uranium resource, compared with SXR's agreed bid for UrAsia, which is about twice as much on that measure, he said."
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The beauty of SMM's deposits is:
1. They are in Australia.
2. They can be served by one production plant only. That contrasts with some deposits, other companies have "all over the place" with additional geopolitical concerns.

So, my original $10 cash/SMM share or $12 in paper proposed takeover by anybody still stands.


Gerry
Readers, please do your own research and you decide if and when to buy, hold or sell any stocks or metals/commodities.