WRN vs WGIn making investment decisions it always pays to check out other comparables. In our case a very good comparable is WRN in terms of size and district, and even metals.
WRN- Has billions of tonnes of resource but it also has some reserve, as in their bankable feasibility benchmark has been completed.
WRN 1 billion tonnes of 0.5% Copper Equivalent.(Reserves)
WG 500 million tonnes(Resources) of 2 grams per tonne platinum equivalent.
A basic algebra formula should get these two speaking the same language.
Copper is worth 7800/tonne CDN and Platinum is worth 50 gram CDN.
Our rock is worth $100/ tonne. Their rock is worth $39/ tonne.
They are planning on starting at 120,000 TPD mill our mill is less than 32,000 likely in the 15-20,000 tonnes per day.
Our high grade starter pit could easily be in the 3 to 4 GPT PtEq whereas WRN has 70 meters of "leached" Cu denuded rock where this is very limited copper, although they too have a starter pit.
WRN market cap is 90 million CDN, ours is similiar.
We have a road in, WRN needs to build a 130km all weather road.
Where WRN wins is that they have 26 million in the bank, trade on the TSX and the NYSE, and have a BFS completed, and they have a low strip ratio.
To put it in perspective, we are being classed as the same as rock that hs 39% of the value . a 2.5 billion dollar capex , to get 8.8 million OZ of gold and 4.5 billion lbs of Copper. 2.5 Billion vs 600 million
We have 7 million OZ of Pt Pd Au (plus Rhodium and friends not counted) 2 billion lbs copper and 2 billion lbs of nickel- worth double copper. So as it sits right now we have about 10% more contained metals and 45% of the tonnage.
WRN has an IRR of 27% at their long term prices which are reflective of current prices. They need to spend 2.5 billion to get the same amount of total metal out of the ground while we need to spend 400 to 600 million.
I think if we can get a BFS, and NYSE listing and TSX listing we are off to the races...
PS. WRN Casino has an average Cu grade of 0.2% and an average gold grade of 0.24gpt Au. We have Cu grades in a little bit better than that, and gold grades about the same, and yet we also have Ni Pt Pd (Co and Mo are equal) plus Rh, Ru, Ir in greater totals.
One last thing. JL was way too rushed and distracted when he ran both companies. He never should have accepted the metallurgy for the PEA, he should have drilled more first. He should have done a big raise at 3 or 4 dollars, he shouldn't have been chasing everywhere and nowhere at the same time. But he did recognize the value here and to that he gets full credit in my eyes. Thanks John! Good luck in Mongolia. Remember, Rome wasn't conquered in a day, so take a long term look at the world, slow and steady as she goes.