First off, may I say a good hardy afternoon to everyone here, I have just now signed on to AGORACOM, I have been a CMM shareholder now for 5 years, a member of Stockhouse for 9 years and a member of Stockigloo since early March.
I posted the following on both other blogs yesterday, along with some other posts which I will also post here.
"In my opinion, if the company is taken over, and I don't doubt that it will, because "The Saviour" has manipulated our share price in order to buy up a-la-cheap,transferred shares and warrants to friendly hands and created a false sense of distress for CMM in order to make this takeover palpable.
I see two scenarios unfolding here:
Scenario 1) In the event that he wins the day, there will be a significant number of shares dissenting (my estimate is 50 million shares out of 80 million presently pledged), a judgement value for CMM assessed by a duly appointed court of law, may be set based on an "asset value only" ie. actual proved gold resources in the ground+MInes+Mills.
As taken from goldminorpulse.com
Projected fair market valuation as a gold producer:US$341.36 per ounce of Au Eq.
Century Mining Corporation in situ metal value is 100% from gold. Therefore Century Mining Corporation should be valued on the Gold Producer Valuation Line or even at a small premium. Projected fair market stock price for Century Mining Corporation is derived using the projected fair market valuation at start of production of US$341.36 per ounce of Au Eq.
I will use only the proven, probable, measured & indicated gold reserves (leaving out the inferred estimates as an asset at Lamaque and San Juan) + mines and mills value,
Taken from CMM's website
Lamaque: Proven, Probable, measured & indicated = 2,420,876 ounces
San Juan: Proven, Probable, measured & indicated = 202,791 ounces
Total gold: Lamaque + San Juan is 2,623,667 ounces,
based on the above value of US$341.36 per ounce x $341.36 = $895,614,967.
Lamaque Mine+Mill value is, "Original cost of mine+expenses to return mill to operational status minus depreciation" = Approx. $75 million
San Juan Mine+Mill value is, "Original cost of mine+mill+ cost to enhance production,minus depreciation" = Approx. $10 million
Total value of CMM including only Lamaque assets+San Juan assets (not including all other potential value of properties in Peru, Quebec, Alaska & north west territories).
$895,614,967 + $75,000,000 + $10,000,000 = Approx. $980,000,000, divide by approx.427,000,000/outstanding shares = $2.29/sh.
Note: the remaining un-exercised warrants held by Finskiy and friends will not be exercised until after the merger, in order to keep them away from the eyes of the OSC/BCSC, so they will not be included in this calculation. If 50 million shares out of 80 million dissent, the cost to to the saviors from Russia would be approx. 50,000,000 sh. x $2.29 = $114,500,000 at a minimum.
Now maybe you can see why we do not have to vote "NYET" to this deal in order to win, we just have to abstain from voting and dissent our shares in order to kill the deal, if they decide to continue with the takeover anyway it, will cost them big time, so the dissenters will win really big and the "YES" camp will be stuck with WTG shares which will drop like a rock after the merger.
Scenario 2) The whole merger will be aborted, due to the large number of dissenters, and end of subject.
I know some my numbers are hypothetical, only a few are based on true data from true sites, but as you can see this whole sordid mess, and it is a dogs breakfast, will be an another expensive endeavor for Mr. Finskiy and associates.
So Ladies & Gentlemen, please choose your poison and may the winners have the last laugh.
NSX001
