valuation based on 10000tpa

While there may be some confusion as to the projected output of the Avebury processing plant, be sure of one thing- it will be running at full capacity during 2008. With the resource averaging 1.14% and a throughput of 1m tonnes per year- its more than 10000 tonnes.

If anyone thinks the ball mill will sit idle for half the time and only output 5000 tonnes, then they are naive.

Someone suggested the initial P/E ratio will be similar to SMY when it started. I should point out that AGM has reserves for 12 years already and thats likely to get much longer. SMY had reserves for 4 years.
A P/E ratio of 10+ will be quickly adopted once a second mine decline has been announced- expect that late this year.

Anyone who suggests that AGM is no different to SMY, PEM , CBH etc really hasnt bothered to do their research. But expect broker reports soon- you can be sure they will be able to identify the significant differences between AGM and the others.

In the meantime, go to AGMs website and look up one of the comparison pages between Avebury and Kambalda. While one would assume that this page speaks for itself, its meaning has apparently been lost of some people.

The suggestion that AGM is going to begin production quietly without the market knowing about it are kidding themselves. With nickel at record price levels, with a Province to themselves, selling the highest quality concetrate in the world, at the lowest production cost- there will be huge interest.

But what will set AGM apart from all others is it will be paying a huge dividend in its first year of operation.

Unheard of. Wont the funds fall over themselves to buy!
There will be HUGE International interest.

Anyone who believes that AGM will start production with a SP of 75c is in for a pleasant surprise!

But I dont think many people really are that naive- trying to downramp AGM so you can buy more shares as funds become available will not work!