Oceana and Tahoe will have much in common;

1  2017 sales of 550,000 to 600,000 ounces of gold equivalent
2 each will have very very low costs

differences

1 OGC will be mainly gold with copper equal to about 100,000  ounces of gold
  THO will be 60% silver and 40% GOLD ROUGHLY
  Advantage   Neither has an advantage
 
2  OGC gets a 9 out of 10 re jurisdiction with Tahoe getting a 4 out of 10
  Guetamala is mud wiway between ok and dodgy.
   Advantage OGC

3  extraction costs
   both are in lowest quartile but Advantage  THO (slightly)

4 Mine life
   each has long life mines ... 15 to 25 years
  THO has an advantage re the silver mine

4  Valuation   $2.8b for THO and $1.4b for OGC
    THO is valued at double OGC


Considering that the net present value of income beyond 2030 is not worth much now when we use an 8% discount and considering the inhersent political risks re Gibraltar one can conclude that OGC is worth much more than 50% of Tahoe.  As some folks like to say;  it is a no brainer.

If the price of silver skyrockets and gold stays relatively stable then THO may do better due to the big exposure to silver.  For silver bulls I suggest SLW @ $18 or so

But under most circumstances the new OGC should gain on THO.

No negative is intended for THO;  it is just that OGC looks so good in the new  form


Prediction

1 Case A   $100,000 invested in THO now
2 Case B  $50,000 in OGC and $50,000 in SLW (for silver exposure)

Case B will win by a landslide over 5 and over 10 years

Of course this assumes that the OGC takeover goes ahead

mat