Post by
nozzpack on Jun 19, 2024 5:52am
Production Opportunity Means Much Higher Valuation
Example.
Snowline Gold...SGD..$890 million market cap
Yesterday it announced its maiden resource of 7.2 m ounces in the Indicated and Inferred categories, within 160 m tons averaging 1.05 grams per ton.
The market yawned , volumes were low and the price did not change.
It is a stranded resource with little opportunity for early production .
NFG has the exclusive right to mill QWN ore via the fully equipped and permitted Pine Cove mill to the tune of 450,000 tons per year, including tailings facilities .
It could even contract out the entire mining and processing operation, leaving its team to concentrate on its current exploration and develoment activities .
Production = cash flows= no equity dilution = cash in the bank