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Galway Resources Ltd V.GWY



TSXV:GWY - Post by User

Comment by CWGriswoldon Jun 22, 2012 11:03am
259 Views
Post# 20043776

RE: Is this GWY positive?

RE: Is this GWY positive?

It would seem to me that this transaction gives us a yardstick by which to value Galway based on current gold prices.  If Qatar paid $2 billion for 49% of 7.2 million undeveloped reserve oz in the ground (3.53 million oz) next door to us and if Galway has 1.5 million oz (which I think is on the conservative side) then we should be worth

1.5 / 3.53 X 2 billion = approx 850 million / 125 million shares = $6.80 per share

This number correlates well with what ACE has put out there.

 

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