TSXV:NORA.H - Post by User
Post by
Einherjaron Oct 05, 2010 12:21pm
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Post# 17530194
Silver@$22.60
Silver@$22.60with silver trading around $22.60 and one of the best jv partners in the industrie i belong we will get a very good deal after the studies. we are one of the few pure silver plays around with over 100mio. oz.
Let's consider, for example, two recent buyouts: Hecla's purchase of 70% of the Green's Creek Mine in Alaska and Coeur d'Alene's buyout of Palmarejo in Mexico. Hecla paid US$750 million for 110 million oz. of silver, or $4.75/oz., and Coeur D'Alene paid $US 1.1 billion for 200 mil. oz. silver, or $5.50/oz.
Assuming Pan American earns its 55% by achieving production, and assuming no discovery of additional ounces at La Preciosa (an unrealistically conservative assumption), this approx. $5/oz valuation from the two buyouts can suggest share valuations for Orko Silver of US$2.32/share on the basis of such comparables. Obviously, however, such factors as additional resources, world silver prices and global economic conditions can offset such notional estimates.
A takeover bid before the production is achieved:
146.5million oz of silver +$5/oz = $732million/141.66million fully diluted shares = $5.17
and better deal/better price...maybe we´ll see $6/oz and/or 160million ounces before the bid. Think about it!!!