Sarissa Resources Inc (SRSR): SRSR Uranium Valuation View… S...

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Saturday, 11/17/2007 4:45:31 PM

Saturday, November 17, 2007 4:45:31 PM

SRSR Uranium Valuation View…

Sarissa Resources, Inc. Acquires Two Uranium/Copper Properties in the Elliot Lake Camp in Northern Ontario
Thursday November 1, 9:15 am ET
http://biz.yahoo.com/iw/071101/0322883.html

Sarissa Resources Inc. Acquires Another Uranium/Copper Property in the Elliot Lake Camp in Northern Ontario
Thursday November 15, 9:20 am ET
http://biz.yahoo.com/iw/071115/0329183.html

SRSR has recently acquired 3 Uranium claims representing approximately 1,120 acres of land within the Elliot Lake mining camp in Northern Ontario, Canada. These properties are on the White Uranium trend and another identified trend. This area has historically produced over 270 million pounds of uranium oxide from stratigraphically-bound conglomerate deposits that demonstrate remarkable consistency over large areas as confirmed by the Canadian Government below:
http://www.mndm.gov.on.ca/mndm/mines/Default_e.asp
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24371701

Over the past 100 years, that’s an average of 270,000,000 ÷ 100 = 2,700,000 pounds of uranium oxide produced per year. Let’s go one step further to make this assessment even more conservative and figure that over the past 1,000 years, that’s an average of 270,000 pounds of uranium oxide produced per year.

Before discussing valuation, reference some basic points for understanding the Uranium/Copper properties within the SRSR PRs below:

The Price of Uranium is $92.00 per ounce as of 16 Nov 07:
http://www.uxc.com/review/uxc_Prices.aspx

These areas owned by SRSR are officially proven areas for high yield deposits for Uranium confirmed by the Canadian Government. Reference post below:
http://investorshub.advfn.com/boards/read_msg.asp?Message_id=24371701&txt2find=canadian

Consider below if SRSR produces the per year average for over 1,000 years, the amount of 270,000 pounds (derived above) of Uranium per year that have been produced from the same area owned by SRSR considering the current price of Uranium:

270,000 pounds x $92.00 = $24,840,000

SRSR Financials released on 13 Nov 07 (& Post) as of 30 Sep 07 confirms (& Explains) below:
http://www.pinksheets.com/otciq/ajax/showFinancialReportById?id=12759
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24513398
** 693,566,058 Outstanding Shares (OS)
** $10,436 per quarter in Liabilities
** $81,717 per quarter in Expenses
** SRSR is virtually debt free

Let’s say that as a worse case scenario, SRSR only extracts half of the 270,000 pounds per 1,000 years average and extracts 135,000 pounds to sell. Given the price of current price of uranium of $92.00 per pound price, observe below:

135,000 x $92.00 = $12,420,000 in Revenues

4 Quarters x $81,717 = $326,868 in Expenses

Revenues – Expenses = Income

$12,420,000 - $326,868 = $12,093,132 in Income

Income ÷ Outstanding Shares (OS) = Earnings Per Share (EPS)

$12,093,132 ÷ 693,566,058 (OS) = 0.0174 EPS

.0174 EPS x 12 PE Ratio (Conservative) = $0.208 Per Share Value

The above thoughts are not saying that SRSR would definitely be able to extract the average amount of Uranium from the already proven to be high yield area for Uranium. Please, this is not me talking, but instead are the facts that reflect a legitimate highly probable potential that actually exist from officially proven areas for high yield deposits for Uranium confirmed by the Canadian Government. With Scott Keevil and his TEAM, I like our chances for even extracting half of the above average as a worse case scenario.

This is one of the reasons why I think Scott Keevil made the decision to become the new CEO of SRSR. The above is what I believe Scott will logically use as leverage to do a Joint Venture (JV) with a major company where they split what’s extracted 50/50; SRSR has the goods and the major JV company supplies the equipment, supplies, labor, and “know how” to extract everything out from the ground.

Scott has over 20 years of experience in the mining exploration industry. His family is historically known; especially his father and grandfather both named Norman Keevil. His father is the Chairman and majority shareholder of Teck Cominco which trades at $42.00+ as TCK on the NYSE. Please see the post below:
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24432431

There are also considerations of a Joint Venture to transpire.
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24615815

It is unknown for now, but I think if I was Teck Cominco, I would want a piece of that pie before their primary competitor, Cameco, gets wind of what SRSR has. With this kind of potential in SRSR, Scott’s father, Norman Keevil, might be a little upset if he didn’t tell him about SRSR and their Assets/Resources. Cameco would probably try to take a majority interest as they did with one of the largest nuclear plants in Canada, Bruce Power, which is located right there with SRSR in Ontario, Canada. See post below:
http://investorshub.advfn.com/boards/read_msg.asp?message_id=24375760

Hopefully you can clearly see that if SRSR only does a fraction of what all was indicated above, it is well worth the graduation of trading into the pennies. I trust the historical accomplishments of the Keevils enough to where some of those family genes of mining brilliancy have been passed down to Scott. I think Scott will do wonders for his new company, SRSR, as the new CEO. I would be very surprised if Scott’s father or some other major mining entity wouldn’t want a piece of this pie.

v/r
Sterling

Sterling's Trading & Investing Strategies:
http://investorshub.advfn.com/boards/read_msg.aspx?message_id=29867262