St Andrew Goldfields Ord STADF

RE:RE:Merger doc

[TedOwens]

Good point, and the short answer is they couldn't and didn't.......If one factors in the valuation of the production assets alone at Holt-Holloway, the sales price of 47 cents per share would not cover its replacement......Further factoring of the gold ounces in the ground in all categories and the value of the 120 kilometer land base along what is irreplaceable prime exploration trend close to existing infrastructure, returns a 90 cent to 105 cent per share valuation figure........These figures are moderate in scope and does not take into account the "intrinsic valuation" of the company which has no debt and a massive tax credit available on production income which if all added up together, makes for share price of up to a buck and a half to three quarters realistic......If Goldcorp bought Probe Mines for 500 million then Kirkland Lake is getting the deal of the century and makes one wonder how all of this could be possibly happening without the St. Andrew board of directors having other motivations in place to do this kind of deal other than for still unsubstantiated reasons.......