Post by
TheRock07 on May 08, 2009 6:42am
Capital Costs to Develop Dachang
Capital costs for Eldorado's Tanjianshan mine, excluding the purchase of the mining fleet, $63.4 million dollars.
Including the mining fleet , the total capital costs was $71.5 million.
This is consistent with my own estimate of $100 million , adjusted for inflation since 2006.
Both ELD's and Sino-Gold's nearby gold mines are virtual clones of ICI's Dachang deposit ,which is already twice as large as Eld's , and nearly 60 % of the size of Sino Gold's.
Both web site's state their intentions to increase their gold production in China.
The takeout price , once the new 43-101 is released ( the mettalurgy is now clear and the same as ELD 's and Sino-Golds) should be at least $100 per oz ,less capex costs which suggests a bid in the $200 million range.
Comment by
dedetrader on May 08, 2009 9:53pm
A $200 Million range take over bid eh? TheRock, so what do you estimate the share price to settle at, the $10 range?Things are finally comming to a head. I've been waiting a very long time.