RE: Presentation Sept 12
Dear Meuze,
It is not abnormal for the value of a project that was not at the core of a company development and not really marketing to be grossly undervalue by the market. And that is what is happening with the Haib.
In the case of the Haib project, it clear that investors have not yet realized the significance of the August 17, 2011 press release, whereby Teck informed Afri-Can of its early exercise of it option of the Haib project.
Therefore, the present market Cap you are talking about only represent the valuation given to the market for Afri-Can Marine assets. So once the dividend is out, the value should be base on the advancement of marine project.
That press release is the catalyst for Afri-Can and its implementation of a strategy that “will enable Afri-Can to unlock the value of this project for its shareholders while we continue to focus on our marine diamond projects.”, as Mr Leveille stated in the press release.
Now, one question, do you agree with the Haib valuation found in the presentation ?
For me the $ 15 million value given to AFA shares of the Haib deposit is a very good conservative number. Using a value of 2.5 C per lbs of Cu in the ground is very coherent and logic, do you have a problem with that number ?
If you agree to these numbers, then you will realize that has more people become aware of the value of the spin off that is coming, then the value we start to be reflected more in the share price..
As per your comment about insider, they have already pretty sizeable position, so they fact they are not buying say nothing., now if they were selling that would be another story..
We should receive an up-date soon..