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Hi Stewart, thanks for that, but there was no mention in the farm in that ggp would incur operating costs, so i am assuming 25% of the profit from the mine, not sure they could expect a exploration company to cough up operating costs, and 75mil for 70% of Hav is dirt cheap if its anything over 4mil ounce. I'm not trying to ramp this up but as I say Newcrest average is over $800 per ounce and my assumption is 25% of that as they earn the 70% drilling and extracting.
I think thats why GH mentioned he wanted a 1bn company, and think he though at the time Hav was around 3-4mil ounce. That would make around 800mil plus 5% fair value. Think with the step outs and continued high grades its beyond this. I think currently its around 7mil ounce as a guess of known material, but if the step outs infil drills between step outs continue and form the shape of the original magnetic anomaly that Paddy posted on Twitter then could be a lot more. I'm not trying to ramp, its Prim that mentioned 20mil not me. :)
I believe we could go higher than 25p my understanding of the farm in and please correct me if i'm wrong, is 25% of profits with a 5% option to buy at market value. Newcrest currently running just over $800 profit per ounce and no reason to think they wouldnt achieve at least this as there is no plant to build. So thats $200 per ounce in ground. If its 10 mil ounce then thats 2bn right? if its 20 mil ounce then 4bn excluding 5% fair value, option to buy.
I do feel they carnt drop this too much without unleashing a crazy run up, but they may want to drop it a bit each day. I'm happy either way, if they drop it I can top up, if they dont, and it goes up then will have to top up higher.
I know been here for ages, but didnt want to see my profits go, I'm on a free ride, so just going to leave it be now, think its going to be 20-25p by the end of the year. The MM's have played a blinder, I doth my cap, if they drop it now, I might have to kick the dog...........
you got me, been trying to trade this after taking profits, but got it all wrong!! should have just held, bought back in thats why i'm now waiting for them to drop it again!! just going to hold now as I'm **** at trading