« Excellent quant study from UBS, Tues., May 2, 2006, 10:45 AM | Main | The proof of country risk, Tues., May 2, 2006, 12:15 PM »
May 2, 2006
Ten bagger from Sweden?, Tues., May 2, 2006, 11:47 AM
"C" wrote me this morning from Stockholm to point me in his direction. Now I am going to pass along his message. There may be something to it.
First he introduced himself and the "idea".
Bill, You already know that us little guy's really appreciate the time and effort spent by you in holding our hands.I would like to pay back by offering a link into something that could be either the 10 bagger of my lifetime or a 2 bagger if some of the big guys snatch it up first.
Pls read the info on their webpage and if you find it interesting I could try to help out to get some more background and flesh on the bones.
P.S
I work for a small company as interdealer broker on Swedish Government bonds, hence the ‘'broker'' in our company name. (there is no pitch involved)
Kind regs, /C
So after looking at the website for the requisite 60-seconds, I enquired " and "C" sent me this reply, which I'll leave to you to figure out and comment on.
Bill, Of course a lot of if's and but's .- Management is known for NOT being ‘'pump'n dumpers''
- Management talking about ‘'mining history'' in Sweden
- ‘'Possibility of as much as 10 mio ounces''
- Drill results to be PR'd any day nowFeasibility study say's cost's will be 149 $ ounce + investment of 1200 mio SEK (SEK/us$ 7.38)
10 mio ounces times 600 $ (not NPV) makes 44 billion SEK = 6 billion $
Cost's 10mio x 149 $ + investment 165 mio $ - 1, 655 billionTotal + 4,345 billion $
Company valued today at 222 mio $
10 bag that to half of my simple calculation.
It could be that I'm not clever enough (^^) or do not know how much the market would value something, this long into the future.
That is sometimes the biggest problem being a private investor today (with especially my focus of gold, silver, zinc and uranium) but I'm trying to learn.
And it's so much easier with the help of guy's as you and some other guy's that I follow.
Kind regs, /C
I'm looking forward to hearing from readers who have local knowledge or the time to do the research. Bear in mind I never heard of this company until today, and it appears to be quite small. And my new Swedish friend appears to be a bond trader;
Posted by Posted by Bill Cara on May 2, 2006 11:47:51 AM | Category: Special Situation Equities

See my note from noon. Miners now turning red. Gold very extended. In the past, this has been a very negative sign for near-term price action as the miners have tended to lead. If it does correct here, first support is around 630-635 area.
Posted by: MarkM
at
May 2, 2006 12:32 PM [link]