I understand your logic minetheprofit.

Here is mine

Companies like K.TO can price reserves on their balance sheet at a value that they can expect to get. Yes they price them very conservatively. But they don't generally keep them at ridiculously low values. To the degree that ... say K.TO could buy BBR at a low cost per oz ... they are adding value to K.TO shares (immediately)

BBR 107.1 million shares and 6.7 million oz (and there is more to BBR than just this locations)

At a share price of 2.07 ... those reserves are effectively being priced at $33.00 per oz.

So ... if the deal was done at if K.TO puts them the same oz on their books and prices them at $350 .. K.TO shareholders suddenly get a 2.1 billion dollar bonus. There are 700 million K shares so ... all of their shares go up $3.00 + the potential of the gold ... so lets say they could go up a dollar or so more ... so lets call it a $4.00 lift for K shareholders. (that is a 22% bump for K shareholders)

If BBR sold them the reserves at 200 per oz ... that puts the price at 12.50 per BBR share. Now K gets to do the same trick ... bonus + potential = 2.50 for K share holders (a 13% bump)

Net net ... I know the answer lies somewhere between here and there .. but this all about valuing reserves ... therefore you have to figure out what it is worth for the other guy. I suspect that reserves will cost "a lot " more by this time next year ... and companies like K know that as well. Therefore they should be more than happy to just buy this and just sit on it ... because they will make an awful lot of money ... just because they own it. And if they extract it they will make a lot more.

As always ... just my opinion.