The price paid must be less than the sum of the parts.Obviously...

The price paid must be less than the sum of the parts.

Obviously the market has differing opinions on what is worth but we can agree on some basics.

1 Jinchuan one of the worlds foremost authorities on all aspects of nickel from smelting through marketing have valued the the nickel venture at a min of $250 mill.

2 The cash and near cash (equities ) are valued at $170 mill by a combination of fact and market value.No arguments here.

3 The total of the above is 31 c share (no dilution)

4 The tin is harder to value but if we price it modestly at 4* the earnings to end of June should be somewhere around 7c on 1.8c earnings.

This gives us an absolute price ceiling of 38c.

You have to asssume they will act more in the interests of the shareholders chosing to remain than those exiting(they have already looked after them by increasing demand at the time they choose to exit)

To do this the company must buy back as cheap as they can. Hence the market will dictate what they can pay- up to a possible but highly unlikely 38c.

The other constraint on the company will be better paying investments.These can be both within the company eg expanding tin with Rentails or increasing Mongolian gold.

It could also be external where they have proved adept at identifying oportunities.

Nice to see a proactive management team looking after our (and their) interests
Hope this helps