This is how I interpert the current valuation and SP for KXL. During the PDAC presentation, Brian indicated that the average price paid for Juniors is $109 per oz. Again, is stress average because the value of the company will be a function on the quality of the gold assets, management team, location(country) and infrastructure(at the end of the day you can have a huge gold resource but you need to find a way to extract, transport and convert to gold bars and sell to the market place).

Lets make the following assumptions:

KXL SP- $2.75

Shares oustanding about 90,000,000

Market cap is $248 million

If divide the market cap of $248M by $109, we get about 2.2 million ounces of gold. The market is recognizing that KXL has at least 2.2 million ounces. Again i stress the word average, i believ ethe average price will be higher for KXL when you factor in all of the positives, i.e. stronge managment team, cash in teh bank, location in Ontario, huge land package(30 other targets) and INFRASTRUCTURE.

We all know that the KXL team and the long term shareholders have bought the KXL story because of the potential for this to be significantly higher than 2.2 million ounces.

Regards