Forget fundamentals. AND wasn't taken out for $3.6 billion on mining fundamentals. Seems a pretty hefty price to pay for the obvious ounces that everybody knows about. G paid for the district and the more land in RL that SGR picks up, options and acquires, the bigger the eventual price tag and the new CEO could care less about the bar in Bissett or fishing in Ontario. Get the price up, shop it and move on. G is the obvious suitor.

If SGR's guidance is 1/10 the guidance of G, then you would think in absolute linear terms that SGR would be 1/10 the price.

G's 2010 - Outlook

The company has reaffirmed 2010 production guidance of approximately 2.55 million ounces of gold. Cost performance company-wide remains very strong, with total cash costs for the year now expected at below previous guidance of approximately $350 on a byproduct basis and $450 on a co-product basis.

AND

Goldcorp Inc. and Andean Resources Ltd. have signed an agreement, whereby Goldcorp will acquire, through a scheme of arrangement under Australian law, all of the outstanding shares of Andean. The total consideration for the purchase of 100 per cent of the fully diluted shares of Andean is approximately $3.6-billion (Canadian).

Andean's principal asset is the 100-per-cent-owned Cerro Negro gold project, an advanced-stage, high-grade vein system located in the Santa Cruz province of Argentina. Comprising 215 square kilometres, Cerro Negro currently has reported indicated resources of 2.54 million ounces of gold and 23.56 million ounces of silver (see table for more details). Inferred resources total 523,000 ounces of gold and 3.12 million ounces of silver. Cerro Negro also contains several other vein structures, including the Mariana Central zone, where numerous recent drill intercepts have demonstrated high-grade gold and silver over significant widths.