Casey Research Comments 2/27 From Todays PEA Integra Gold (5B, TOC) 5 Bagger, Take over Candidate. "Not surprising, but great news from Integra here. The after-tax IRR of 43% is an extremely positive bottom line. Of course, the company has found more gold since the resource estimate on which this study is based, including some of the best drill results ever on the property, so there’s reason to look forward to even better numbers when the final feasibility work is done and a production decision is made. Could those numbers be worse? This is a preliminary study, after all, based in part on Inferred resources. True enough, but the drilling keeps finding more gold, so we’re not worried about the resource estimate. Better still is that while “preliminary” because of the inclusion of Inferred ounces, this is not your typical “scoping” study that’s merely conceptual in nature. Integra already has the (permitted) plant in hand, which has processed the same type of ore before, so they understand very well how it would work and what the metal recoveries are likely to be. Not only that, but the exploration ramp being made now for the bulk sample and underground drilling is production-sized, which means that this project is much closer to production than the “preliminary” nature of this study might suggest.
All good, and well look forward to more and better going forward, but this stock has had a great year so far, so buy only on the dips (like today) if new to the story or in at higher prices."