RE: RE: RE: Agoracomers confused.... Primed:
"BTW Crazy H please give me your thoughts on buying some Havilha in the open market if they open at 10 cents...It may be more wise to wait for some form of exploration plan to be announced..."
If one were able to buy Havilah at 0.10, my calculations would put Havilah at a 1.1m market cap, which would certainly be in line with its peers. With such a small float it would easily move up. We know the SLI team is good at promoting and Havilah may well appreciate a lot due to promotion. So small float and tiny cap are both big plusses. The wild card however is SLI. If SLI ends up crashing and burning, will this have a negative effect on Havilah? The other problem is Havilah will have only 600k working capital, which is hardly enough to do anything but keep the lights on over the next year, so more dillution is inevitable. In my opinion, buying Havilah would be a short term bet that management will be able to move the price up based on speculation, however, any actual discovery or gold ounce definition would be a longshot and likely years away. Of course, if SLI manages to hit big on Tesoro, all bets are off and Havilah will likely be worth a lot more.
Calculations:
SLI shares 130mil divided by 20 = 6.5mil Havilah shares.
Havilah financing adds an additional 4.5mil shares.
Total Havilah shares 11mil
Based on 0.10 financing shareprice, 11mil X 0.10 = 1.1mil market cap