Ann: Option Agreement for Joint Venture Signed, page-15

So assuming KEX go ahead with all the terms of the JV, they will be committing about $10.7m USD for 75% of the project.

That's around a valuation of $20m AUD for 100% of the project. Current VAL market cap is 7.5m AUD approx.

With just short of $2m in cash, this project is currently valued around $5.5m by the market.

So essentially, we will be seeing a possible 3-4 bagger in the next year or two at a minimum for fair value - Pump and dumps on good drilling results could easily reflect in higher spikes of the share price. As far as a punt goes in these market conditions, I think the terms aren't bad at all.

Good point raised earlier by @FastSell in regards to the working pace. However, they are bound to $2m expenditure in the first year. Although I'm unsure what penalty they'll pay if they don't uphold that end, maybe VAL gets free exploration data from what they did spend and keep the $700k. 

I am a buyer today for a punt. Good luck guys.