Join today and have your say! It’s FREE!

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Please Try Again
{{ error }}
By providing my email, I consent to receiving investment related electronic messages from Stockhouse.

or

Sign In

Please Try Again
{{ error }}
Password Hint : {{passwordHint}}
Forgot Password?

or

Please Try Again {{ error }}

Send my password

SUCCESS
An email was sent with password retrieval instructions. Please go to the link in the email message to retrieve your password.

Become a member today, It's free!

We will not release or resell your information to third parties without your permission.
Quote  |  Bullboard  |  News  |  Opinion  |  Profile  |  Peers  |  Filings  |  Financials  |  Options  |  Price History  |  Ratios  |  Ownership  |  Insiders  |  Valuation

ECUADOR GOLD AND COPPER CORP V.EGX

"Ecuador Gold and Copper Corp is a mineral exploration, mining and development company. The Company acquires and explores gold mineral rights located in Ecuador."


TSXV:EGX - Post by User

Comment by knight52on Aug 09, 2013 11:13pm
194 Views
Post# 21660994

RE:RE:RE:RE:6 - 10 million ounces

RE:RE:RE:RE:6 - 10 million ouncesCurrent resource estimates are at 6.4M oz of indicated and inferred gold and over a billion pounds of copper.  They are still drilling and have not included results from many of the drill holes (12 or so drill holes) into the recent 43-101 estimates.  

If one assumes the reources will increase in the same proportion overall (which may not be the case) an adjustment needs to be done to the current resource estimates (37 total holes divided  by 25 reported holes, gives an adjustment factor of 1.48.  Then multiply 6.4M oz of gold by 1.48 = 9.47M oz of gold.).  The estimated resources are at 9.47M oz of indicated and inferred gold.  

Using a conservative $12/oz valuation figure would give an asset value of $113.64M dollars (9.47* $12=$113.64M). Dividing this by number of OS: 113.64%142M shares =.80 cents share value.  Keep in mind this doesn't include a billion lbs of copper.  If we apply a geo-political risk discount factor of  50% as the mines are situated in Equador, the share vlaue is about .40 cents.  Any comments or improvement to this valuation approach would be appreciated.

My thoughts/opinion only.   Please exercise your own DD and research before investing.
<< Previous
Bullboard Posts
Next >>