First I find it surprising that AEM (or any major) would buy any company with only 700k M&I resources unless they were fairly certain that the resource will expand post purchase. Barrick paid $150 per ounce for Arequipa back in 1996 but post purchase added 5 million ounces. Gold prices were much lower then of course so Baricks purchase was an anomoly relative to anything else before or since.

Only AEm and others with confidentiallity agreements can see all the data and thus know much more about Grayd's deposit than we do. We will not know for certain what Grayd actually has until AEM proves it higher.

So I would submit that the lofty price paid by AEm was more for future potential ounces and not for proven ounces and whether Prodigy can demand the same premium (per ounce) would depend on what is not yet discovered.

Unfortunately we won't know the answer to that until a takeover is already announced. For now I'd be happy with $100 - $140 per ounce on the upside.