RE: RE: RE: RE: Exeter Valuation at GoldMinerPulseEd,
My valuation methodology factors out the price of gold by assuming the major such as Agnico and Kinross are farily priced by the market. That leaves my assumption of US$1.5B for the CapEx as the most probable source of error.
If the CapEx turns out to be US$2B then the projected price drops to roughly C$10. And if the CapEx goes to US$2.5B then stock is roughly correctly priced.
However if the CapEx turned to be a US$1B then the projected fair market price goes to $C20.
So, if you have a storng feeling about what the CapEx number to bring Caspiche into production is going to look like you can place your bet accordingly. I haven't researched what Kinross and Barricks spent for CapEx to develop their projects but I suspect that would be a very worth while exercise for a keen Exeter investor (please mail me if you do I will update my blog).
Exeter is a lot like Seabridge IMO. Relatively low grade, high tonne, high CapEx project -- my Seabridge blog is at
https://www.goldminerpulse.com/blogs/seabridge-gold-valuation.php
However in Seabridge's case the CapEx numbers are pretty well understood since they already have a PEA on the property.
Cheers,
Dennis