Valuation Production comparisonHi Production05,
Here is how I will be presenting the numbers to a lawyer later today. Can you please update in this format and add others if need be. Thanks.
Members of HRG’s Russian-West African peer group:
1) HRG’s = $1,963 Cdn market cap/oz ($135.7M Cdn market cap / 69,118 Q1 ounces produced in Q1 ‘09). 2) Randgold Resources = $54,490 ($6 billion Cdn / 110,313) 3) Red Bank Mining = $29,286 Cdn ($2.1 billion cdn / 70,408) 4) Polymetal = $22,246 Cdn ($3.0 billion cdn / 134,841) (based on gold equivalent ounces)5) Peter Hambro Mining = $10,860 Cdn ($1.2 billion cdn / 107,400) 6) Semafo Inc. = $8,652 Cdn ($503M cdn / 58,100) 7) Highland Gold = $7,782 Cdn ($311M cdn / 40,000) (based on their ’09 annual target of 155K – 165K ounces)8) Golden Star Resources = $5,623 Cdn ($545M cdn / 96,971)”
- Avg mkt cap per production oz for the peer group (excluding HRG) = $22,003 Cdn ($13.6 Billion Cdn / 618,033 ounces)
- Based on this analysis, High River Gold should be trading at $2.58 Cdn per share instead of $.23.