RE: RE: Why $5 isn`t unreasonable I agree that this $5 "rumoured buy-out" is completely random and obviously not based on facts or reliable sources. I do like the fact that it kick started a conversation on buyout scenarios and different valuations.
The Raymond James estimte of $2.50 is conservative as they have to rely on limited information to calculate ounces in the ground and this can vary wildly depending on different factors...from their report...
Additionally, Galway’s NE and Pie de Gallo Zones illustrate a continuation of the veins along strike forapproximately 750 m. If mineralization continues from La Mascota, with a resourcedefined over 800m along strike, in a similar fashion through the Galway NE and Pie de Gallo Zones, then we estimate this zone could host over 2 mln ounces if the thickness of the mineralization remains constant.
Also they point out the fact that there will be a lot of attention coming GWY's way real soon.....
We believe that once the California Resource estimate is released, the majors and neighbours will be re-evaluating Galway and their growth potential.
Stock Re-Rating. Galway is aggressively exploring the California and Vetas project with the aim of having an independent NI 43-101 resource estimate completed in 1Q12. We expect to see considerable share price appreciation as the project derisks and advances towards production.