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Newcrest Mining Ltd NCMGF


Primary Symbol: A.NCM

Newcrest Mining Limited is an Australia-based mining company. The Company's principal activities are exploration, mine development, mine operations and the sale of gold and gold/copper concentrate. The Company owns and operates a portfolio of brownfields and greenfields exploration projects. The Company’s assets include Brucejack, Cadia, Havieron, Lihir, Red Chris, Telfer and Wafi-Golpu. The Brucejack asset is located approximately 950 kilometers (km) from Vancouver, Canada. The Cadia asset is located approximately 25 km from Orange, New South Wales (NSW). The Havieron asset is located approximately 45 km east of Telfer. The Lihir asset is located on the Niolam Island, approximately 900 km from Port Moresby, Papua New Guinea (PNG). The Red Chris asset is located approximately 1,700 km from Vancouver, Canada. The Telfer asset is located approximately 400 km from Port Hedland, WA. The Wafi-Golpu asset is located approximately 65 km from the city of Lae, PNG.


ASX:NCM - Post by User

Comment by sclardaon Jun 08, 2021 10:19pm
180 Views
Post# 33353110

RE:Perron figured

RE:Perron figuredWhynottoday2 wrote


....to be Net Debt Free by the end of June. Wonder if he sandbagged again and is already Net Debt Free?

Anyways does anyone know or willing to guess if the smoking hot US inflation number coming out on Thursday is going to be positive or negative on the Gold price and/or PVG current -$12.90 price??

Place your bets accordingly! 

-------------------------------------------------------------

 At the end of the first quarter March 31st. PVG had  aprox.  $249 million US in debt and aprox.  $209 million US in cash which means they had a net debt of aprox. $40 million US.   In the first quarter they had cashflow of over $61 million US or aprox. $20 million US per month in cashflow. 

In April and May they would have cashflowed over $40 million US which is equal to the net debt they had at the end of the first quarter.  So congratulations everybody except mini PVG is now net debt free and cashflowing aprox.  $240 million US dollars per year  or $20 MILLION US PER MONTH at the current gold prices. That equals aprox.   $320 million CDN. The current market cap of PVG is aprox.  $2.4 billion CDN. That equals an aprox.  13% cash  return at the current shareprice.  If gold were to go up a bit with inflation, money printing etc as it surely should  along with the US dollar rising PVG could easily be cashflowing $400 or $500 million CDN.

Having invested in a lot of  junior gold projects over the years it taught me a lot of lessons on when was the best time to buy shares. That is why i have never owned a lot of PVG as although you could see  it was going to do  well eventually there are always a lot of bumps in the road and it takes years for them to find the resources, permit, finance and build a mine and then pay back all the debt.  PVG has done this  in a very impressive way paying back some $700 million US in debt plus interest  in a few years and is now at the point where the debt is gone and the cash is pouring in. The Snowfield sale also helped a lot in getting rid of the debt. 

At the same time for whatever reason the PVG sharerprice is at a low level and dropping steadily.    

Speaking from my own experience with gold miners right now is the time to load up on all the PVG shares you can.  It may go lower in the short term but as the quarters tick by and the cash piles up all over the place which leads to a lot of possibilities for PVG such as dividends, share buybacks, huge exploration drilling, takeover of another miner etc. the market will sooner or later take notice as nothing beats having a huge cashflow and no debt. 

Come on PVG show us the money!!!



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