Ann: Further Delays to Financing Las Lagunas Gold, page-16

re: Ann: Further Delays to Financing Las Lagu... Just a few thoughts on EVG

Enterprise Value (EV): (Mark Cap + Total Debt)
Market Cap @ 4.6 cents = $18.4 million
Project Finance + other loans = $40 million

Enterprise Value (EV) = $60 million

Resources: Page 2 of announcement 04/11/09
700,000 oz Gold equivalent
* 92.5 % = 647000 oz

Production:
77,000 oz Gold equivalent
*92.5% = 71,000 oz


End up with:

EV$/oz of Resource: $60,000,000/647,000 = $92.73

EV$/oz of Production: $60,000,000/71,000 = $845


Proviso:

These figures will stand correction and am happy for that to happen

Make no allowance for Azuay Gold Project Ecuado

Assume project finance and successful start up

What is a reasonable figure?
Per ounce of Resource: $150?
Per ounce of Production: $2500?

I would suggest higher especially given low projected cash cost and current higher bullion price.

Anyway it is all guess work --- Buggers me how the shares are currently 4.6 cents and all these large investors are lining up to take placements @ 8 cents, or maybe 7 cents allowing for options. Although last option sale is 1 cent, I think that is being a little generous.

Dont take a lot of notice of me ---- currently underwater on my EVG investment.

Regards

Jim