Abacus is worth 28.83M

Following the exercise of the Development Option by KGHM Polska MiedzS.A. on April 2, 2012, (thereby increasing its ownership in KGHM-Ajaxto 80%), Abacus was paid cash consideration of US29.9 million. Todate, net of cash calls, 24.9 million remains in Abacus' escrow account which will contribute to Abacus' portion of all development expenditures. The joint venture agreement with KGHM Polska Miedz S.A.provides for a financed carry for Abacus' 20% interest with 100% ofthe project's capex obligation to be provided by KGHM.

Abacus has approximately 1.5 million in cash and equivalents. This is expected to be sufficient for the foreseeable future as the Company has a very low monthly cash requirement.

So with Escrow and cash they are worth less than what they have in the bank. The 20% gets a value of negative 2 million or so. Don't forget that they got $30M to get 50% so it's like they gave $50M or so to get 80%. Not a stellar deal but at the time it was thought to be good. The Polish will develop this so the 20% is a free ride. By comparison it would make us seem worth $200M of which $25M would be ours.

Abacus continues working with financial advisor Stifel Nicolaus Canada Inc. in evaluating a number of potential strategic opportunities to maximize the value of its 20% interest in the Ajax Project. A development in this regard will be announced when appropriate.

So they are shopping it. This is what they are selling:

The Ajax project feasibility study supports production of a total of 2.5 billion lbs of copper and 2.28 million ozs of gold inconcentrate, or an average of approximately 109 million lbs of copperand 99,000 ozs of gold annually, over a 23 year mine life. Total proven and probable mineral reserves are estimated at 3 billion lbs Cu and 2.7 million ozs Au at 0.27% Cu and 0.17 g/t Au based on 2.50 Cu and 1,085 Au. The proposed mine plan envisages a conventional open pit operation processing 60,000 tonnes per day or 21.9 million tonnes per year of ore. (see Report titled "Ajax Copper/Gold Project-- Kamloops, British Columbia Feasibility Study Technical Report" byWardrop (a Tetra Tech Company) dated January 6, 2012 ("FS")).

So what are they doing now you ask? Well, they are looking for a $200 million payday. Bear in mind the absurd sp. It almost makes this seem like a joke. There's about 225M shares out. This should lead to a 5-7 bagger yet look at the annual volume. Did you have to wipe the coffee off the table that came out of your nose? If this project were to be anywhere else on the planet including the Congo is would probably be worth double right now. The company expects to have a partner by the end of the year. Since we are in exactly the same boat but with a better contract it will be instructive to see this play out.

There's a little bit more to the FS that makes this one a little less attractive. I'm not going to get into that. It's close enough. The main points are the 60Kt and the cost per pound. However, they have infastructure already. Todays news should have you accumulating. This is where the biggest profits are to be found.