Jason Homell's Analysis $.14 / share CDN
Post# of 7619
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Posted On: 07/15/2019 12:16:34 AM
Jason Homell's Analysis
$.14 / share CDN x 58.4 million shares issued = $8.2 million CDN Market Cap
$.1086 / share USD = $6.3 million USD Market Cap
Guyana Goldstrike, profiles favorably:
There is tremendous leverage at 77/1 comparing the value of the 345,300 oz. gold in the ground, ($483 million) compared to the market cap of $6.3 million.
The resource is mine able ! $76 gold/tonne, (1.7 g/t gold) while $10/tonne is usually the cost.
They have a historic resource up to 960,000 oz. gold. If we assume, they prove that up, the leverage is 213 to 1!
A very wealthy investor (Zijin Mining) owns 24% of the stock. Zijin Mining has a market cap of $12 billion USD.
When the 43-101 Resource of 345,300 oz. gold was announced back in Jan., 2018, the stock price was at $.23 CDN / share, and did not move up, so investors have not missed out on anything yet. The big share price move up in Sept. 2016 was when the company announced their plans to acquire the Marudi gold property.
This stock reminds me of another time in my 20 years of investing when I saw a high grade, 43-101 resource project, with such a tiny market cap. The Stock was Canadian Zinc, back in 2003, with a market cap of $3 million, and the stock price moved up 10 times from $.13 to above $1.50. Canadian Zinc has since changed their name and has a current market cap of $24 million.
Presentation:
https://www.guyanagoldstrike.com/images/prese...4_2019.pdf
Highlight!
“Mazoa Hill zone 43-101 Mineral Resource Estimate – 259,100 Indicated Au oz within 4,428,000 tonnes grading 1.8 g/t, and 86,200 Inferred gold ounces within 1,653,000 tonnes grading 1.6 g/t”
My analysis: What does that mean?
My math: 1.7 g/t / 31.1 g/oz. x $1400/oz = $76 / tonne rock ore.
Total indicated and inferred ounces = 345,300 oz. gold x $1400 / oz. gold = $483 million.
Leverage? $483 million / $6.3 million Market Cap = 77/1.
Source: Jason Hommel
$.14 / share CDN x 58.4 million shares issued = $8.2 million CDN Market Cap
$.1086 / share USD = $6.3 million USD Market Cap
Guyana Goldstrike, profiles favorably:
There is tremendous leverage at 77/1 comparing the value of the 345,300 oz. gold in the ground, ($483 million) compared to the market cap of $6.3 million.
The resource is mine able ! $76 gold/tonne, (1.7 g/t gold) while $10/tonne is usually the cost.
They have a historic resource up to 960,000 oz. gold. If we assume, they prove that up, the leverage is 213 to 1!
A very wealthy investor (Zijin Mining) owns 24% of the stock. Zijin Mining has a market cap of $12 billion USD.
When the 43-101 Resource of 345,300 oz. gold was announced back in Jan., 2018, the stock price was at $.23 CDN / share, and did not move up, so investors have not missed out on anything yet. The big share price move up in Sept. 2016 was when the company announced their plans to acquire the Marudi gold property.
This stock reminds me of another time in my 20 years of investing when I saw a high grade, 43-101 resource project, with such a tiny market cap. The Stock was Canadian Zinc, back in 2003, with a market cap of $3 million, and the stock price moved up 10 times from $.13 to above $1.50. Canadian Zinc has since changed their name and has a current market cap of $24 million.
Presentation:
https://www.guyanagoldstrike.com/images/prese...4_2019.pdf
Highlight!
“Mazoa Hill zone 43-101 Mineral Resource Estimate – 259,100 Indicated Au oz within 4,428,000 tonnes grading 1.8 g/t, and 86,200 Inferred gold ounces within 1,653,000 tonnes grading 1.6 g/t”
My analysis: What does that mean?
My math: 1.7 g/t / 31.1 g/oz. x $1400/oz = $76 / tonne rock ore.
Total indicated and inferred ounces = 345,300 oz. gold x $1400 / oz. gold = $483 million.
Leverage? $483 million / $6.3 million Market Cap = 77/1.
Source: Jason Hommel
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