Mason Res Corp MSSNF

from Eric Reguly in yesterday's G&M

[philtlucre]

 Miningplays can be hard to value. The purchaser, of course, will know the target’sproven and probable reserves. Those are the numbers you can take to the bank.But value creation in the mining world doesn’t work that way. The upside isbuying the theoretical reserves, the stuff – gold, diamonds, oil, potash,lithium – that the new owners think they can find after they take control of thedeposit and unleash the geologists and their drilling rigs. It’s a bet, in otherwords, though ample due diligence can tilt the odds in the buyer’sfavour.

no gold company is valued on proven and probable preserves alone; Kinross andother miners know those figures are only a fraction of thestory.