WesDome…A Quasi Brownfield/ Greenfield model for NFG Wesdome is a Canadian-focused gold producer with two high-grade underground assets, the Eagle River mine in Ontario ( 15 grams ) and the recently commissioned Kiena mine in Quebec ( 6 grams ).
The company's primary goal is to responsibly leverage this operating platform and high-quality brownfield and greenfield exploration pipeline to build Canada's next intermediate gold producer.
It has 150 m shares and trades at $11 for a market cap of $1.6 billion.
Production is 120,000 ounces per year at an AISC of $1550 US per ounce which is above peer average , because both mines are underground .
M &I Resources are 327,000 ounces, with 930,000 ounces in Inferred....produce and replace by converting Inferred to mineable .
Grade wise, very similar to QW but QW has very high grade low cash cost open pittable gold.
And, QW has far more gold resources than WDO .
So, let's say that QW began early production of 120.000 ounces per year , its AISC cash costs would be sub $700 , remitting very strong cash flows double that of WDO, with exploration upside much greater than WDO.
Comparatively, NFG would trade above $2 billion easily imo by early open pit mining of QW.
Yet, you have the obdurates on this BB who present negative views of early production of QW preferring instead to wait perhaps years for a buyout for a 30% gain.