OTCQX:BGMZF - Post by User
Comment by
yaponskion May 14, 2014 2:11pm
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Post# 22561508
RE:What will happen if we get the 10 mio ounces from snowden
RE:What will happen if we get the 10 mio ounces from snowden
dosco wrote: Drop to 20 cents... jump to 2 cad ?
Dosco,
IMO BGM is going to go the way of the TSX averages in the longer term. And today the average valuation for a 10M oz deposit, at the exploration stage is $4 per ounce.
TSX/TSXv Gold and Silver Equities Statistics
The following table includes TSX/TSXv listed companies with at least 12.5 of their in situ metal values from gold or silver (in US$).
source:
TSX gold and silver mining stock averages
I would argue that clearly CM is at the exploration stage since it doesn't even have a scoping study. Therefore $4 per ounce times 10M ounces suggests a fair market valuation of $40. At 123M share that suggests 32 cents a share.
Of course I'd expect some undershoot to match the recent overshoot so swings down into the teens could happen and if BGM can avoid going broke then a buy in the teens assuming 10M ounces might be a reasonable bet.
Just my boe dd. Do your own... or better still get an invite to the BBoS special forums (short bus for investors) and get the spreadsheet miner valuation story... I'll bet it is just great... eh, what do you say Mr. Flinestone????/