RE:RE:RE:RE:The Lassonde Curve Before people get carried away thinking Gogo and Smitty's $2 buyout price is most likely right, I need to point out this napkin math is incorrect. I'm not sure what is with people's obsession of assuming we should cut the numbers in half because there's more risk involved. I can promise you Cynthia isn't going to accept a deal where someone offers 50% of what they should because "that's how deals work."
The $220/oz number I used already priced in the fact that it's 2-3 years away from production. Otherwise, you'd use something more like $350/oz. I used that number because it was easy to double the amount rather than explain the range of outcomes. Sure, it was probably the high end of things. Maybe it'll be $200/oz or maybe $175/oz depending on a number of variables. I didn't think I'd have to explain this, but this is all napkin math and it was just an example of how anyone can use their own assumptions to get to different share prices.
I can give you a range of buyout amounts depending on the amount of GEOs and how much you think a buyer will pay per ounce. Based on the information I've researched and/or been given, the $11.10 CAD/share price was a reasonable middle ground to give to those who needed some optimism after all the negative posts the past few weeks (or months/years depending how long you've been on this ride).
At the end of the day, it's all speculation and assumptions until the buyout. Everyone's assumptions and ideas will be different, whether you feel like you should only use conservative numbers, base your ideas on traditional methods, believe LME is going down an unconventional route, or think the Ishkoday has incredible amounts of gold in the ground. No one but the inside LME circle know the full extent of the data and the buyout plan. Until it happens, no one really knows. If it is $10+ per share, all I can say is drinks are on me.