If in fact Cliffs is interested in PRB I think they'll just buy the property. Not try a share takeover.

My understanding is SPQ was paid CDN$125 million for a quarter interest in a deposit that was defined at the time to be 1000m long, 400m deep, and 40mwide @ 40% chromite. Apparently Probe's deposit is 800m long and plan to explore to 400m depth and also be approximately 40m width. To date Probe's grade is in the ball park with SPQ, maybe slightly better.

If Probe is successfull in matching the depth/width metrics of KWG/SPQ/FWR then I would think Probe's deposit would be worth .80% of the KWG/SPQ/FWR deposit. Thus, Cliff's pays Probe CDN$400 million.

With corporate taxes at .18% Probe nets CDN$328 million cash. PE's for companies in this kind of situation usally range from 4 to 10 depending what is perceived to be the furture use of the cash. Thus CDN$328.0 / 42.0 million FD shares equals CDN$7.81 per share X 4 PE equals approximately $30.00 per share. Whew, that's alot of assumptions.

But then again, Probe may find nothing remotely close to what was found by KWG/SPQ/FWR. Personallly, I think they will equal the KWG/SPQ/FWR deposit proportionately speaking...............eom