Harte Gold Corp. T.HRT

What if present value scenario

[Rats66]

Please allow me to present a little blue sky, what if scenario.

1. What if the total in ground gold reserve at Harte is not 3 but 10M oz?
2. Assume that it would take 20 years to extract the 10M oz
3. That works out to 500,000 oz per year (average)
4. Assume current price of Gold stays constant at $1650/oz CAD
5. Value of gold extracted per year would be $825M
6. Assume cvost of extraction and processing is $1000/oz
7. Net value of extracted gold would be $325M per year
8. Asssume 20% is retained for further exploration
9. Earned value of Gold would be $260M per year
10. Assume tax on earned value (this is just a shot in the dark) is 20%
11. After tax earned value available for dividends would be $208M
12. Assume that outstanding shares remain at 500M
13. Annual dividend per share would be $0.416
14. Total dividend over 20 year extraction period would be $8.32
I did not do a present value calculation. You financial types can do that
My assumption using this scenario is that the real stock price should be $8.32 once the 10M reserves are proven.

If SR believes that there is this much gold in all the potential sites identified, then the buy out value for HRT should be $8.32 x 500M shares or $4.16B CAD
If none of the big time players are ready to ante up this buy-out amount, we will proceed on a road to a production mine and eventual dividends.
If SR blinks, and lets the big guys buy-out on an assumption of 3M oz, the stock price using this model is $2.50 and the buy out amount is $1.248B

Please let me know where my model is at fault. if you have a better scenario, please share it