RE:close up shophmmm... I was just snooping around on the net for information on the DML takeover of Rockgate.
Here's the dirt by my reckoning...
Rockgate's only asset (Falea Project in Mali): | | Cut-off | Tonnes (,000) | U3O8 % | Total Equiv U3O8 (lbs)* | $ M equiv | |
| Indicated | 0.03% | 1,961 | 0.14% | 14,787,113 | $521.99 | 25% |
| Inferred | 0.03% | 9,448 | 0.10% | 44,345,891 | $1,565.41 | 75% |
| | | | Total | 59,133,004 | $2,087.40 | |
I have converted the silver and copper credits to equivalent U3O8 at today's prices.... U3O8 will certainly go up in the future.. but will copper and silver?
UEX: | Shea Creek (UEX portion april 2013) | | | |
| | Cut-off | Tonnes | U3O8 % | U3O8 (lbs) | $ M equiv | |
| Indicated | 0.30% | 1,034 | 1.48% | 33,154,870 | $1,170.37 | 71% |
| Inferred | 0.30% | 636 | 1.01% | 13,814,080 | $487.64 | 29% |
| | | | Total | 46,968,950 | $1,658.00 | |
| | | | | | | |
| Hidden Bay (Raven, Horseshoe & West Bear) | | |
| | Cut-off | Tonnes | U3O8 % | U3O8 (lbs) | $ M equiv | |
| Indicated | 0.05% | 10,373 | 0.16% | 36,623,000 | $1,292.79 | 93% |
| Inferred | 0.05% | 1,109 | 0.11% | 2,715,000 | $95.84 | 7% |
| | | | Total | 39,338,000 | $1,388.63 | |
So UEX's in the ground resource about $3B, Rockgate's about $2B.. . but note that about 80% of the UEX resource is in the "indicated" rather than the lower confidence "inferred" category. Rockgate's resource is 75% inferred.
Shares outstanding:
UEX : 227.8M
Rockgate : 116.9M
Value of share for each pound in the ground:
UEX : $13.37
Rockgate : $17.86
Potential operational environment:
UEX : Saskatchewan, 3 mill's nearby, excellent infrastructure, politically stable, existing working partnerships with both Areva and Cameco
Rockgate : Mali, Areva's mill in neighbouring war-torn Niger??, limited infrastructure, recent coup d'etat
DML is offering about $0.23 for each Rockgate share.. as DML shares of course.
Where would you put your money?