Updated NI 43-101 The updated NI 43-101 is expected the week beginning 16th April. There is some expectation that the company's resources may be increased to 6m oz. Any thoughts on how this might affect the SP?
Here are some of my thoughts. If this is indeed the case, then applying a $/oz metric we are trading at only $45/oz at the current market cap. This would be considered low for a non-producing junior explorer. As a producer the usual valuation is $200-$400/oz in the ground, so we are really looking at multiples of the current share price using this method. Of course this metric omits the ore processing plant asset, itself worth an estimated $500-$1000m.
Overall the company is looking incredibly undervalued and any increase in resources would be excellent news. Provided we continue to produce without further downtime, and continue to ramp up to our maximum operational capacity, I expect interest will return and a considerable re-rating will occur. Good luck all.
dyodd