Aurcana Silver Corp V.AUN.H

RE: I can safely say...Try Again

[MontyHigh]

Sorry, I goofed it up. I was assuming the 25 MM$ covered all of La Negra's production.

Here's my SLW / La Negra deal based valuation:

If SLW values 50% of La Negra silver at 25 MM$, then the remaining 30% owned by Aurcana is valued at 15MM$ and 800 M oz/yr silver is worth 50 MM$.

Assume Shafter will produce 2 MM oz / yr its valuation is then 125 MM$.

Assume Rosario will production 1 MM oz /yr its valuation is then 62.5 MM$

So, not counting La Negra base metal production and assuming Aurcana gets Rosario and Shafter into production we have Aurcana with an SLW provided valuation of:
202.5 MM$ = 15MM$ + 125 MM$ + 62.5MM$

Current market price is .60 * 109MM fully diluted = 65 MM$ fully diluted.

So, Aurcana (assuming they get into production with Rosario and Shafter) is undervalued and would have to be a 3-bagger just to meet what SLW thinks its silver streams are worth.

I'm thinking about putting an article on my web site, worldofwallstreet.us doing an "SLW deal" based valuation of Jr silver producers and near producers.

Monty