re: golden deeps profits: asset backing.... wow! From reviewing...

re: golden deeps profits: asset backing.... wow! From reviewing the accounts and announcements, the following points emerge:

- GED took part in a placement that KRZ was unable to complete and sank somewhere between $180,000 and $223,000 in mid/late 2002. This was around about 30 million shares with a free attaching option. It then sold these shares early 2003 when control of KRZ passed from their stable to the new management. It realised a healthy profit of $316,000 on this underwriting transaction

- The numbers dont quite fit, but are very close to explaining the cash in flow mentioned in the quarterly report. This means that the LUM shares are probably entirely or mostly intact. At last Annual Report this stood at 5 million shares

-the only other point to emerge is that Robert Collins is under-representing his indirect interest in LUM to the extent that he discloses only the interest of Profit and Resource Mgt Pty Ltd, of which he is a director, and does not disclose the 5 million shares presumably still held by GED of which he is also a director

The upshot of this is that the net tangible asset backing of GED, ignoring mineral tenements, is $1.23m cash plus $1.75m shares in LUM at 35c for a total of $2.98m or a whopping 12.5c per share

Good fun!