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Post by ziggys post on Nov 12, 2008 19:08:02 GMT -5
In a time when it is very discouraging to see our share prices pushed down it is reassuring to see insiders purchasing shares.
Since August 500,000 shares have been purchased by insiders.
We all know that we have good projects with MMG and DRV. Once the markets settle down we will see our share prices return to the values that they deserve.
DRV with 100% Peru properties. DRV was trading at $2.00 a share this time last year. What has changed? DRV now holds 100% of the property in Peru and we have seen very sucessful drilling on Aquilla. Pasacancha results are coming soon and we have $3 million in working capital.
MMG with over 30 gold/silver exploration properties in Mexico. New MMG has only 30 million shares outstanding and $5 million in working capital. Cash value alone is around .16 a share. MMG traded on average for .30 a share before Peru was actively explored and this was just on the merits of its Mexican properties. This was with 60 million shares and very little in working capital. With this additional money and a tighter share structure MMG should trade at .75.
Everyone keep your heads up.... better days are coming for MMG and DRV shareholders.
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Post by retired on Nov 13, 2008 8:23:03 GMT -5
Great post! The stock prices are very discouraging but will make some, a lot of $$$ if we snap them up while the price is so cheap. The insiders are buying, so they are not getting any bad news from Peru and everyone else's stock prices is in the sh**er so I suppose it's not too alarming to see our's go as well. As you said, "better day's are coming" so have a great day and buy,buy,buy!!!!!
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Post by cybermaria on Nov 13, 2008 13:44:24 GMT -5
I think Ziggy's misleading people a little there. I did a check on sedar and on page 147 in the management information circular it lists: cash of 2,195,997 and marketable securities of 2,816.300 out of which 2.4M are drv. That's certainly not 5M of working capital.
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Post by ziggy300zx on Nov 13, 2008 17:12:32 GMT -5
You are right Maria I was looking at cash equivalent and not cash on hand for the $5,000,000 I stated.
The .15 a share cash value is figured at $2,000,000 cash / 30,000,000 shares equals .15 a share.
I am not attempting to mislead anyone.
If you take the average share price of MMG before Peru was explored it traded on average of .30 with close to 60 million shares outstanding.
Now with only 30 million shares outstanding and 2 million in cash we would need to trade at .75 for the markets to put MMG at its former value before Peru.
I am only attempting to encourage all the longs including myself that we are extremely undervalued and better days are ahead for us MMG and DRV shareholders.
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Post by cybermaria on Nov 13, 2008 17:48:04 GMT -5
Ziggy, can you please explain your math? I come up with a share price of .09 for Macmillan minerals assuming a share price of .215 for duran. I'm also positive for duran and believe better times lie ahead. Once we're out of this mess I believe the commodity boom will be greater than the last one. Let's hope for great pasa results!
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Post by ziggy300zx on Nov 13, 2008 19:25:56 GMT -5
Maria Duran and Macmillan are no longer connected. We can not figure MMG's or DRV's value off of the others stock price. Before the merger it was possible to see which company was undervalued by comparing each others stock price divided by shares outstanding for each company. Even this was guess most of the time.
I am not saying that the market will value MMG at .75, because who knows in these crazy markets, just that for it to have a comparable market cap pre Peru it would need to be priced in the $.75 range.
Pre Peru MMG trading average $.30 X 2 (half the shares outstanding) =.60 + .15 (cash in hand) = .75
Duran had traded on average over the $1 mark for the last year. This was with half as many shares, but only half the Peru Property plus a net smelter royalty to MMG. Now Duran owns 100% of the property plus the elimination of the net smelter return.
This value for Duran is not even taking into consideration all the progress made on Aquilla and the possibility of a world class silver deposit at Pasacancha.
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Post by cybermaria on Nov 13, 2008 19:46:49 GMT -5
Okay, maybe we're just not on the same page. I was referring to the value of the new company (macmillan minerals ,mmm) not drv or the late mmg. The value of mmm is: (2,195,997 + (2,400,000 * .215) ) / 30,000,000 = .09/share. I only used the 2.4M duran shares in this equation. I also don't understand where you are getting .15 share 2M/30M is .06. Anyway there's a hockey game on now. Good luck all longs. Go pasa!
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Post by cybermaria on Nov 13, 2008 20:33:48 GMT -5
My apologies Ziggy, I'm not trying to discredit your post. I also don't believe in false expectations either. If mmm were to start trading tomorrow then I believe the share price would be .09, because many (many) stocks today are trading at or below their cash values. Hopefully by the time it does trade the situation will have improved. Again my apologies. Not only does the stock market suck this year so does my hockey team! Go pasa
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Post by cybermaria on Nov 13, 2008 21:14:09 GMT -5
Sorry folks, I was wrong on my last post....the stock market is actually outperforming my hockey team.
Whatever....
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Post by ziggy300zx on Nov 13, 2008 21:41:16 GMT -5
Sorry long day Maria.... 30,000,000 divided by 2,000,000 is .06 a share new Macmillan Minerals cash value alone. I guess I need to retake simple math The value of .30 a share X 2 I am coming up with is the value MMG traded at on the merits of only the Mexico properties. This .30 was with twice the float of nearly 60,000,000 shares. Now Macmillan will only have 30,000,000 so the share price will need to be double to equal the market cap Macmillan had before Peru..... Now do I think we will get this price...I doubt it with the market acting the way it is, but none the less this is what it would take to have the same market cap for Macmillan before Peru was valued into MMG So corrected figures .30 X 2(half the outstanding shares)=.60+ .06(cash on hand)=.66 New Macmillan. So with the markets valuing our companies the way they are if we should be priced around .66 a share we can expect the markets to price us around .10 Hold tight longs things will get better. DRV bring on Pasacancha results.
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Post by cybermaria on Nov 13, 2008 22:58:46 GMT -5
"Sorry long day Maria.... 30,000,000 divided by 2,000,000 is .06" Ummmmmm...actually that would be $15 a share! However I like your thinking Ziggy..we will all be rich! I think the cash value still has to include the duran shares and that would be (ridiculously enough) .09.
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Post by caveman on Nov 14, 2008 13:04:27 GMT -5
Well 2 divided by 30 but either way 15 a share for duran is possible with all the potential maybe just not for Macmillan yet
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Post by caveman on Nov 14, 2008 13:07:01 GMT -5
Oh and sorry your team didn't come through!
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