the way forward, page-110

Crackpot.

You claim the following:


"Obelix, that's true you didn't say those words. you said something along the lines of how applying a 10%, 20%, 30% or whatever % risk weighting to a npv was a strange concept, the only 'true' value was 100% npv, or $1b"

I seriously challenge you to show where I said something like that. I agree that sometimes when trying to apply a concept via typing on an iPhone certain concepts can go awry but I wouldn't have said what you have quoted.

When discounting future potential earnings (in our case in ground value of Uranium) you would apply a risk premium to the discount rate. That is the technically correct way to do it. If you or anyone else knows what such a risk premium is you are talking bs. It is certainly massive but not quantifiable at least not at this stage.

At the time the talk was revolving around valuations - and the 1bn value was tossed around - the very clear statement was when compared to Extract and their resource the potential value of MLS when all is said and done could be 1bn. It was clearly stated that there are some MASSIVE positive assumptions to be made but what was being conveyed was the POTENTIAL upside. If I recall you then came along and said it would was easy to value MLS relative to its peers etc etc etc. The 1bn valuation (well certainly when I looked at it) was not an NPV. It was a FV in at least 3-5 years time IF (and a huge IF) we had a similar resource as Extract. To be precise, if like Extrtact we take about 5 years to fully explore and map our resource and after 5 years we get a FUTURE VALUE of 1bn, the discount rate (risk free rate risk premium (liquidity premium which HUGE who the %^%^% && knows premium) would be 80.85% NACM.

The share price of MLS does not reflect its current value. With such low volume and the kind of trading base I very much doubt that the price efficiently reflects all information - how could it even get close.

A JV is nothing more than capital raising on a big scale. All MLS needs is capital - not expertise. So your JV would have been nothing more than a capital partner on a large scale. MLS would be stupid to consider this with the price so low. That is why they are going to make damn sure they deliver the most impressive drill results in a few months.

I will say one thing - by November/December this stock will (in my mind) be one giant SELL or have made superb returns with more to come. If they drill now in depths in excess of 50m and deliver average results and true area of drilling was determined by a thorough magnetic survey I will write the stock off.

So, please, stop misquoting me and get that huge chip off your shoulder. You are smart but arrogant - you have nothing to prove - this is a forum where we should all be able to learn from each other. However, some of you - and yes, you, Dott and Ditto (the unholy trinity) are the biggest culprits - seem to think this is a competition. Some of our posts get over 500 reads - yet only a handful of people post regularly. Maybe they don't want to get personally attacked if they open their mouths. Wonder why? I don't give a toss but maybe other people do.

You have value to add to this discussion - I have no doubt. And I would use every bit of what you say if it made personal sense for me - but please lose the arrogance and get some emotional maturity.

Obelix.