valuation of dio

Lots of chartists having their say, but what about some real data - what does everyone say about this analysis:

The "Frogs Leg" deposit is the one commercial thing they have, so ignoring their other prospects as not yet real, they told the market last June that Frogs Leg is worth $159m based on a gold price of A$800 and a resource of 500K ounces. That represents 25c per share (640m shares). Its an underground resource, and the $159m profit seems high on $400m revenue, but this is probably due to much infrastructure being established when they operated as an open cut mine.

Since then they have upgraded the resource to over 900K ounces, and gold is still close to A$800/oz. That would infer at least 40c share price, and probably more given that the $159m profit already assumed fixed costs.

Plus they have another gold resource of 260K oz which I assume is not yet commercial, and the spin off is worth 1c per share, plus the recent announcement.

Does anyone know how sensitive "Frogs Leg" is to movements in the gold price?

Looks to good to be true???