"IF" we get a lower resource number , this would have to be considered a financing instead of a hostile even with the massive changes. I have long argued a premium due to grade/jurisdiction/open pit / 2 mills/ tax benefits/production etc.... the junior industry avg is $50 ( I believe) so go ahead and add $20 - then deduct $20 for poor mgmt ...therefore $50/oz
500K rest of property
3M COW = 3.5M x $50 =$175M / 110M shares = $1.59 would be a "fair" price ...however then you have to consider we are in a distressed situation/ under CTO , in debt / P.Tomsett's street cred / 50M of new cash / plus a group very likely to turn 3.5M oz into 5-7 M oz's - enter production....and be motivated to flip the company in short order....thus turn 3.5M into 7M and sell for $150-$200 share (As we would be in production)
7M x $150 = 1.05B /250M shares = $4.20 share considering those factors and that I put a MASSIVE VALUATION on replacing mgmt ,and being able to sleep at night......unfortunately the cut-off for "me" is 3M snowden ounces.......(obviously IF we werent in a distressed scenario,those numbers would change....and full takeout values would be much higher)
It may be a "moving target" ...but people still gotta vote on it, and If they tried lowering the PP price....well you see the outrage now..... doubt it.... ; I think a more likely scenario would be them washing there hands of it completely and taking the loss
finally there is alot of regulatory attention on this, I think Snowden's reputation supersedes all...and we will get a professional , well thought out calculation/ audit/ opinion....whatever the hell they are doing....