For several reasons I doubt a mutually benficial merger deal can...

For several reasons I doubt a mutually benficial merger deal can be done at this time. For one thing, in my opinion, the equity of both VAN and of SGI are very mispriced by market currently. SGI equity have market cap of CAD$78mm, back out USD$19mm on balance sheet and no debt leave SGI profitable gold mining business with valuation of CAD$54mm. VAN equity valued at $57mm, add in $10mm debt mean VAN business that is burning cash daily valued at $67mm, or about 20% more than SGI!