Explor Resources Inc New EXSFF

RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE: .... humm ...

[PhillyJack]

I don't think the stock price of EXS figures much in Teck's thinking, except that the price of EXS stock is partially refelctive of the value of TPW.  What Teck will be looking at, IMO, is the inherent value of TPW vs. what the market thinks it's worth and how cheaply Teck can buy it from Explor.  Teck is trying to figure out TPW's inherent worth while it drills and earns into the JV agreement with EXS.  The 144 Gap discovery by LSG helped to make TPW more attractive.  So would a discovery on Ogden, as both properties are adjacent to TPW.  In the end, as HeyStupid has pointed out, we are likely to be paid in Teck stock anyway.  So the formula will be the price Teck and CD can agree upon, divided by the price of Teck shares on a certain day.  That will then be multiplied by whatever the fractional number EXS shares represent vs. Teck shares.  For example, let's say that Teck and CD agree on CD's asking price of $300 million.  Teck is selling for $15 per share, and EXS has come up to $2 on anticipation of the TPW buyout.  Teck would then have to distribute about 20 million shares of TCK to EXS shareholders.  If you owned 10,000 shares of EXS, then you would receive approximately 1,333 shares of TCK.  Understand that the value of your EXS shares would instantly drop to represent the trading value of EXS minus the TPW property, which would then be 100% owned by Teck.  So your 10,000 EXS shares might reopen at, say, $0.25 or $0.30.