Argex Titanium Inc. ARGEF

Value RGX

[MJLi]

LS,

I did a (very) quick and dirty valuation of RGX. I did not take into account the exercise prices of the options because in this scenario I assume Michael will take RGX to the moon which would result in a much higher share price. In this scenario, exercise prices in the range of 0.25-0.40 are then considered noise. I also assumed no further dilution (not very likely) and did not consider exp. dates of the options.

For the Gross Metal Value (GMV), as stated in the latest presentation, I assumed the range of 18.8-41.5 bln. I assumed a Enterprise Value (EV) of 10-20% of the GMV in place (I did not consider cash or debt). This is a conservative approach/estimation. Please be aware, this is a very high level and therefore indicative valuation!

Regards,
M 

Argex Mining - RGX.v
Shares		56.99	mln
Options		2.4175	(est. ex. price 0.26)
Options		5.2675	(est. ex. price 0.26)
Warrants		24.966	(est. ex. price 0.40)
Warrants		5.9006	(est. ex. price 0.375)
Total		95.5439
Share price (CAD)		0.76	(as of 14 feb 2011)
Mcap		72.61	(as of 14 feb 2011)
Gross Metal Value	Min	18,800	(mln CAD)
	Max	41,500	(mln CAD)
10% GMV	Min	1,880	(mln CAD)
	Max	4,150	(mln CAD)
20% GMV	Min	3,760	(mln CAD)
	Max	8,300	(mln CAD)
Share price (to-the-moon-scenario)
10% GMV	Min	19.68	(share price)
	Max	43.44	(share price)
20% GMV	Min	39.35	(share price)
	Max	86.87	(share price)