the extremely good announcement we have!

Hi All,

did anyone note this sentence:

"there's now reasonable expectation that the company is going to pursue EARLY SUCCESS from its GOLD & BASE METAL projects with a commensurate expectaion that the non executive directors will be called upon to allocate an increase in both time & concentration on the company's progress"

that means 1 thing & 1 thing only:

* Feysville is a GOER - they mentioned gold first.
* Sandeigo Cu will come into play soon due to the increased prices in copper!!!

let's assume only Feysville at this stage:

* assuming 50,000 lb outcome (as targets BEFORE the southern sheer area results).
* assuming operational costing of say $500/lb.
* today's price of gold is $1,054.

total profit of 50,000lb outcome would be around US$33m of PROFIT, convert that to AUD$ then we have around AUD$36m of profit.

if we divide that profit per share, then each share will have worth of cash in bank around 7.2c/share + add the potential for other projects (which market already paid 3c/share for recently) = 10c approx.

many variables in here to evaluate Feysville & the more info we get the more accurate we can become in finding a fare value!

the 1 thing I'm sure of is that 4c is NOT a fair value of what could be a 10c share ONLY on the smallest project we have.

KP is in today's rates could be the equivalent of 84c in the 5 years (life of mine), so make up your mind to what potential we have!!

AAR is currently dirt shape & i don't anticipate the SP to stay that cheap for long - plenty of profit hunters are out there that look for easy money & big potentials.

pls feel free to correct if any of my figures were anyhow wrong.

I hold, biased & pls DYOR.

cheers,