Fair value VGAA $24.79 ? - 500 Beiträge pro Seite

[dirkbe]

Fair share value of Vega Atlantic $24.79

Based up on 21,446,000 shares outstanding, a 70% interest of Vega in the joint
ventures, future production targets given by the company, the estimated production price
for gold, silver and zinc in China and the actual market price for the above mentioned
metals I`ve made the following optimistic calculation. Read carefully and let me know if I
miscalculated anything...

Gold

Market price: $281/oz
Production price in China: $100/oz
Future production target per annum: 121,000 oz
EPS: $0.71 = [($181 x 121,000)*70%]/21,446,000
P/E = 6

Fair share value based upon gold production only: $4.26

(Important: the estimated resource size and the production target of one property is still
unknown)

Silver

Market price: $4.93/oz
Production price in China: $2.25/oz
Future production target per annum: 3,000,000 oz
EPS: $0.26 = [($2.68 x 3,000,000)*70%]/21,446,000
P/E = 6

Fair share value based upon silver production only: $1.57


Zinc
Market price: $1146/ton
Production price in China: $500/ton
Future production target per annum: 150,000 ton
EPS: $3.16 = [($646 x 150,000)*70%]/21,446,000
P/E = 6

Fair share value based upon zinc production only: $18.96

(Important: the estimated resource size and the production target of one property is still
unknown)

TOTAL FAIR SHARE VALUE

$24.79 = $4.26 + $1.57 + $18.96

Comment:
Again, it`s possible I made a mistake, however I doubt it. I would settle for half of that
price.

Here`s to a bright future for VGAA

Cheers

DDD

[dirkbe]

!

Dieser Beitrag wurde vom System automatisch gesperrt. Bei Fragen wenden Sie sich bitte an [e-mail]

[Gilligan]

Quote:"TOTAL FAIR SHARE VALUE

$24.79 = $4.26 + $1.57 + $18.96"

Sounds great, but I think you should put more emphasis on the fact, that all these numbers are just projections, they didn`t earn anything up to now, did they?
Have to admit I didn`t do a lot of DD, please correct me if I`m wrong.

Greets

[dirkbe]

Correct, these numbers are projections based on projected future year production, based on production prices I`d like to see confirmed perhaps in the PAR report.

Question: do you know something about the value and the industrial use of zinc oxide?

Dirk

[dirkbe]

Zinc news yesterday is far more important then I could imagine.

Zinc is not the only product involved here. Now they`re talking about zinc oxide too. IR said yesterday to me zinc oxide is tomorrow`s "new gold".

Zinc oxide is one of the most important compounds of zinc. It`s incorporated in rubber to act as a heat dissipator, particularly in high performance tires.

It`s used in the manufacture of synthetic rubber, methanol and printers inks.

Because of its particular properties when it reacts to light, it is used in TV picture tubes and photo copy
equipment.

In everyday use aroud the house, zinc oxide is found in cosmetics, salves and creams, pharmaceuticals and paints.

There are probably a lot more uses that I don`t know about, but this serves to illustrate that zinc is HOT, and Vega appears to have a lot of it.

DDD

[dirkbe]

Read some interesting stuff: bullish sign for gold mines. VGAA will start producing in Q4. The right company, with the right product on the right time :-)

SUMMARY: My current outlook has been raised to STRONGLY BULLISH for gold, gold coins, and gold collectibles, and to VERY STRONGLY BULLISH for gold mining shares. On Wednesday, July 19, 2000, thousands of stale speculator long gold contracts were liquidated as sell stops were triggered in a classic technical retreat. On Thursday, July 20, 2000, the active August contract touched a morning low exactly ten cents above its previous day`s low, while COMEX gold open interest plunged to its lowest level in many months. In the July 17, 2000 issue of "New Yorker" magazine is an article about how gold mining has been a terrible investment; usually when a non-financial publication has a financial article, it marks an imminent reversal in a major trend. Chat sites consisting primarily of goldbugs invested in gold mining shares are showing noticeable signs of surrender, as is often the case before a sharp trend reversal. Numerous brokerages have very recently lowered their price targets for gold and its shares. The fundamentals for gold are improving markedly as the U.S. economy gradually slows and inflation edges higher. With the huge U.S. trade deficit, over $25 billion per month more is going overseas than is coming back; the figure for May 2000 was $31.04 billion, a new all-time record. This is finally causing the U.S. dollar to decline from recent multi-year highs versus many of the world`s currencies, which is positive for gold and its shares. The CRB index of commodities has been in a strong bull market and recently set a new two-year high since it had completed a 13-year bear market with a solid double bottom in 1999. U.S. Treasuries have been in a pronounced yield curve inversion, which is a classic precursor to a recession: gold usually is among the strongest-performing assets heading into an economic contraction, especially if it is more severe than most had anticipated. On a price to net asset value (P/NAV) basis, the senior gold producers are trading at the lowest levels over the past six years. The senior producers are trading at 1.5 times, at the low end of the historical 1.5-3.0 times asset value range. On a market capitalization per ounce of mineable reserve basis, the senior gold producers are trading at the lowest level in eleven years. The senior producers are trading at $100 per ounce, at the low end of the historical range of $100 to $250 per ounce [source: Michael Jalonen, Merrill Lynch]. Intraday trading patterns and gold mutual fund flows indicate that a substantial number of long-time holders of gold mining shares had sold their shares just in the past few months, some of which had been held for several years; this is very similar to the unloading which occurred just before the XAU doubled in 1993, and before the strong 1977-1979 and 1985-1987 rallies. Call it the seven-year itch--people are itching to dump their gold mining shares every seven years, just before they double or triple (or quadruple). Increasingly strong physical buying of gold has emerged worldwide. Silver also appears to be forming an important base. There is increasing evidence of a gradual but perceptible rise in inflation in the U.S.; year-over-year employment costs have risen 4.3%, their greatest annual increase in 9 years. The Australian dollar, which is often a leading indicator for gold, especially at key turning points, made a major bottom at 56.60 cents U.S. on May 17, 2000; gold hit an intermediate-term nadir at $269.15 spot on May 25, 2000. The XAU has potentially completed a long-term double bottom/reverse Siamese twin head-and-shoulders pattern which saw this index make a left shoulder at 61.23 on January 12, 1998, collapse to its upside-down head #1 of 48.67 on August 31, 1998, and then make a double-tested right shoulder at 56.44/57.80 on March 30/July 19, 1999, another right shoulder at 54.24 on April 13, 2000, with head #2 (which may or may not be complete) at 50.16 on July 24, 2000. With gold mining shares currently strongly undervalued relative to the gold price and to the profits of many gold mining companies, as well as the unusually fragmented nature of the industry compared to most with a similar total market capitalization, takeovers are likely to increase in both frequency and magnitude, as recent merger activity has continued to demonstrate. When purchasing gold mining shares, avoid buying on margin and never purchase call options, so that the magnitude of the eventual gain is the only important issue, rather than the vagaries of precise timing or interim volatility. Always stick with companies that have strong, growing earnings; avoid companies with losses. Occasionally a money-losing company will suddenly turn around and become profitable but that is the rare exception, in gold mining as elsewhere.

XAU VS. SPOT GOLD SHORT-TERM TRADING INDICATOR: On Monday, July 24, 2000, the XAU fell 0.45 while spot gold in U.S. dollars dropped $1.30. This is slightly bullish. The key value of 50 bears close watching.

If you find this intresting.

Here`s the link.

http://www.goldminingoutlook.com/

DDD

[dirkbe]

Good times are coming.
VGAA gained 44% today!!
Actual share price $0.5
Still, VGAA was $1 earlier this year.
The PAR report must be coming.
287.000 shares were traded today.
That`s several times the daily average!!


DDD

[dirkbe]

Important Zinc News

Zinc will become a very important source of income for VGAA.

Tuesday September 12, 9:32 am Eastern Time

Press Release

Vega-Atlantic Corporation Announces Zinc Joint Venture Business License

DENVER--(BUSINESS WIRE)--Sept. 12, 2000--

NOTE: Vega-Atlantic Corporation common stock is traded on the Frankfurt Stock Exchange (FWB) under
the symbol VGA, (WKN36303) and on the OTC Bulletin Board in the United States under the symbol
VGAA.

Vega-Atlantic Corporation (``the Company``) (FWB:VGA) (WKN36303); (OTCBB:VGAA - news)
announces that its Chinese zinc prospect Sino-Foreign Joint Venture Company, the Yunnan Baotong
Mineral Exploration and Development Co. Ltd. has been approved by the Chinese Government Director
of State Administration of Industry and Commerce of the Peoples Republic of China, and has
received its business license.

The granting of the Chinese business license is the final step to formalize and legitimize the Sino Foreign
JV Company under the protection of Chinese Sino-Foreign Joint Venture laws and regulatory systems.
The JV can now proceed with the business of conducting geology exploration and development in the
concession defined in the exploration permit granted to the Company.

Vega-Atlantic Corporation announced on June 8, 2000, that the Company had executed an agreement
to joint venture with the No. 4 Geological Brigade, Yunnan Bureau of Geological Exploration and
Development to cooperatively explore two separate Zinc and Lead deposits in the south western Yunnan
Province. Further to the June 8, 2000 Agreement, the Company announced on July 19, 2000 that it had
completed joint venture negotiations and had executed a Sino-Foreign Cooperative Joint Venture
Contract, and was proceeding to form its limited liability joint venture company. The Contract provides the legal basis the
Company requires to conduct further exploration, metallurgical testing, and assessment of mining
potential related due diligence. The name of the newly formed cooperative joint venture entity is
``Yunnan Baotong Mineral Exploration and Development Co. Ltd.``

The Company has incorporated a wholly owned subsidiary named Epicon Resources Group, Ltd. in an
income tax exempt domicile to become the actual Baotong Joint Venture foreign partner on behalf of the
Company.

Joint Venture Terms and Exploration and development Status

Further due diligence is in process. The Company has hired an independent geologist specializing in zinc
metal to provide reports on both zinc prospects -- the Luziyuan (LZY ZINC) and Jinchanghe (JCH ZINC)
zinc and lead deposits. The independent geologist is in China at the date of this news release, and
geological reports are expected in the near term. Preliminary metallurgical testing is also in progress
through the services of Process Metals Research. Subject to the outcome of due diligence efforts under
way, the Company has committed to spend $1,000,000 on exploration (drilling and tunneling) over a
two-year period in return for a 70% interest in the Baotong JV Company. According to the JV Contract
signed, the Company can acquire up to an 85% interest by providing further capital if its Sino JV partner
elects a no investment 15% carried interest. Provisions in the Joint Venture Contract allow for 90% of
future profits to repay all Foreign invested capital by the Company and its subsidiary, Epicon Resources
Group, Ltd., before reversion to final ownership interests. The Joint Venture anticipates risk exploration
around zinc and lead areas already defined, and the development of a mining feasibility study and evaluation.

About the Company

Vega-Atlantic Corporation is a minerals exploration and development company concentrating on gold,
silver, and zinc exploration and mining joint ventures in the Peoples Republic of China and internationally.
The Company concentrates
on properties that can establish and realize cost effective mining operations within the near term. Vega-Atlantic Corporation is assessing
further acquisitions to add to its existing joint venture projects.

SAFE HARBOR STATEMENT

Forward-looking statements in this release are made pursuant to the ``safe harbor`` provisions of the
Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking
statements involve risks and uncertainties, including, without limitation, commodity prices of precious
metals and actual results differing materially from projections because of geological factors, operation
factors, government regulations or factors relied upon from independent sources, may either negatively
or positively impact exploration or mining operations. Forward-looking statements involve known and
unknown risks and uncertainties that may cause the Company`s actual results in the future periods to
differ materially from forecasted results. The Company assumes no obligation to
update the information in this release.

Contact:

Vega-Atlantic Corporation
Investor Relations -- GERMANY
Rudolf Heinz, 49 69 9709 1325
Fax, 49 69 9709 1326
or
Investor Relations -- USA
Gary Powers, 800/209-2260 or 303/740-6737
Fax, 800/713-5349 or 303/740-6738
www.vega-atlantic.com
[e-mail]

[dirkbe]

The company launched its new website.

Very corporate. Very informative. Very well done!!
And just in time for all those new investors who will read the PAR report in a few weeks (days) time.

http://www.vega-atlantic.com

DDD

[dirkbe]

The PAR report has arrived

September 21, 2000 12:22

Investrend Research Announces Investment Opinion on Vega Atlantic
NEW YORK--(BUSINESS WIRE)--Sept. 21, 2000--
An ACCUMULATE recommendation for Vega Atlantic issued by Investrend analyst. A twelve-month appreciation target of 100% is set. The eight page September 21, 2000 Investrend Research

Initial Report is available at www.investrend.com.

An Initial Report on Vega Atlantic Corporation (VGAA) by Investrend Analyst Don Poirier was released today for Public Analysis & Review (PAR) at the beginning of Investrend Research coverage.

Trading at a multiple to our estimated Net Asset Value (NAV), Vega-Atlantic`s share price reflects investor interest related to its upcoming production in China as well as the fact that the Company is one of the few juniors that is active in China and, as such, attracts an additional premium in the marketplace.

Vega Atlantic is a mineral exploration company focused on opportunities in the Peoples Republic of China ("PRC"). The Company has made several important acquisitions on favorable terms and in the near term will advance two significant gold projects to production. It also has interests in silver and zinc. China is well endowed with world-class mining deposits. These deposits are largely undercapitalized and labor intensive. Vega-Atlantic is building its profile in the PRC as a capable production company that has access to the North American capital markets. Over a short period, the Company has made good progress and we look forward to watching this company grow internally from its existing resource base and by acquisition.

The Company has an interesting mix of metal properties and good working knowledge of the PRC, which should be a key driver in enabling Vega-Atlantic to acquire additional properties.

Mr. Don Poirier is an exploration geologist. Based in Vancouver, Mr. Poirier has worked as a mining analyst for several securities firms over a period of 11 years. 5615 Keith Road, West Vancouver, B.C. V7W 2N4, Email [e-mail]

Please read disclaimers found on the Investrend web site (www.investrend.com) before investing. The Public Analysis & Review (PAR) program of Investors Research Institute, Inc., a non-profit membership organization, is operated by Investrend Research. Anyone, including a company, may enroll a company for coverage. PAR reports are performed on behalf of the members of the Institute, and are not a service to any company. Analysts are responsible only to the public, and are qualified and assigned solely by the Institute. Analysts are paid in advance to eliminate pecuniary interests and insure independence. Annual enrollment fees are presently $17,500 per annum, and increase to $19,700 as of October 1, 2000.


CONTACT: Vega Atlantic Corporation
Gary Powers, Investor Communications
International, Inc.
Tel: [phone] / Fax: [phone]
Toll Free: 800/209-2260
or
Investrend Research
John M. Dutton, President
Tel: [phone] Fax: [phone]
E-mail: [e-mail]
Web site: www.investrend.com

TICKERS: OTCBB:VGAA.OB

[gholzbauer]

"Read carefully and let me know if I
miscalculated anything...

Gold

Market price: $281/oz
Production price in China: $100/oz
Future production target per annum: 121,000 oz
EPS: $0.71 = [($181 x 121,000)*70%]/21,446,000
P/E = 6 "



Die 100$/oz stellen vermutlich nur die cash costs dar, man muß zur Gewinnberechnung selbstverständlich noch die allgemeinen Kosten (Zinsen, Verwaltung, Abschreibungen, ...) und evtl. Steuern rechnen, dann sieht der mögliche Gewinn schon ganz anders aus, wenn nicht gar ein Verlust entsteht.

[gholzbauer]

Dito natürlich für Zink und Silber.