re: Ann: Further Delays to Financing Las Lagu...
Just a few thoughts on EVG
Enterprise Value (EV): (Mark Cap + Total Debt) Market Cap @ 4.6 cents = $18.4 million Project Finance + other loans = $40 million
Enterprise Value (EV) = $60 million
Resources: Page 2 of announcement 04/11/09 700,000 oz Gold equivalent * 92.5 % = 647000 oz
Production: 77,000 oz Gold equivalent *92.5% = 71,000 oz
End up with:
EV$/oz of Resource: $60,000,000/647,000 = $92.73
EV$/oz of Production: $60,000,000/71,000 = $845
Proviso:
These figures will stand correction and am happy for that to happen
Make no allowance for Azuay Gold Project Ecuado
Assume project finance and successful start up
What is a reasonable figure? Per ounce of Resource: $150? Per ounce of Production: $2500?
I would suggest higher especially given low projected cash cost and current higher bullion price.
Anyway it is all guess work --- Buggers me how the shares are currently 4.6 cents and all these large investors are lining up to take placements @ 8 cents, or maybe 7 cents allowing for options. Although last option sale is 1 cent, I think that is being a little generous.
Dont take a lot of notice of me ---- currently underwater on my EVG investment.
Regards
Jim
EVG Price at posting:
4.6¢ Sentiment: None Disclosure: Held
