PINL:VLTAF - Post by User
Comment by
VentureTrader1on Sep 27, 2012 5:09pm
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Post# 20422383
RE: Reason why its down!
RE: Reason why its down! Right - at.80, not only was the 5 million at Kiaka fully priced in, but also 200K for a starter pit in Kiaka South. Because who in their right mind would finance a company that can only make $1000/oz on 5 million oz (at $1700/oz) - eg $5 billion, for more than the equivalent of $20/oz?
I for one think a $1760/oz discount is more than fair, after all, that's only a 99.99% discount to the POG, or even better, only a 99.98% discount to the marginal profit /oz (at $700/oz operating cost). No, there's nothing going on here, nothing at all - just the market determining fair market value.