The paper reviews recent valuations of mineral
properties, many of which are at an early stage of
exploration. The various methods used are outlined.
The problem of comparing, in terms of whether it is
fair and reasonable, a highly subjective opinion of the
present value of a portfolio of exploration tenements
with a vendor consideration, the real value of which, in
most cases, lies at some indeterminate time in the future
because of the application by the Australian Stock
Exchange (ASX) of escrow conditions, is highlighted.
Examples are given of some of the questionable logic
used by consultants in handling this difficult issue. A
proposal for revision to current flotation and listing
practice which, the author believes, would circumvent
the problem and at the same time provide better
protection for the investing public is offered for
Consideration.