Maureen,

Good catch. Thanks for posting.

This is a well-reasearch piece. It proves that the author has done the homework before the prediction. Yes, it's a balanced view with the pros and cons, but in my opinion the author is too conservative in the evaluation, especially on the value of the Chromite (given a value of $10M...No, no, no)

There are a lot of important development in the RoF lately. For example the Mining and Lands Commisioner just handed down a ruling denying CLF the easement application. With KWG on the driver's seat for its plan to build the RR (along with others of course) with the intention to take its own BH chromite out. PRB would be part of the plan for its good grade (DSO-qualified) chromite... and more importantly, the real estate which is pivotal for the mine infrastructure (does not matter if it'sBT or BD) and transporation access: RR, roads for employees to get to work and back to the accommodation (the waterfront Hilton).

Rumour says a few years ago, Dave turned down an offer of some $60M for BC and has set his baseline for negotiation at $100M plus. Take $75M as an example for simple math, with about 75M shares OS, this would yield $1.00/sfor the chromite property.

In summary, $10M for BC property with its excellent real estate and a reasonable size high grade deposit is way too conservative.

BTW, the politicians are talking about RoF. Things seem to get moving along at high speed. Even though PRB was not mentioned, Minister Gravelle actually mentioned little David KWG along with Goliath CLF during Question Period in the Ontario Legislature. However, if one looks at KWG map for RoF development, PRB real estate was used for all sort of stuff as mention above, including dumping ground for waste rock and low-grade ore for potential future processing. Perhaps, Dave should appear with Frank for a picture (shaking hands of course, just like the picture of Frank with PM Harper, see KWG photo album, first piture) just to stir up the pot a bit.

Enough free advertisement for PRB RoF property from me. Perhaps, I should forward this post to the author for Part 2 of the write-up.

goldhunter