TSXV:RZL.H - Post by User
Comment by
Maupition Jul 16, 2014 10:20am
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Post# 22750392
RE:Where are we now?
RE:Where are we now?In other words:
Should soon the sum 5-10 million dollars for Cadan be available, then this stock is extremely undervalued in my opinion. Not because the production can be started up but because T'boli and Batoto have the potential for a resource of approximately 10 million ounces of gold. Of course need after production start once loans and convertible bonds may be repaid without exploration, the resources can not zoom. But the drilling and analyzing samples, the development of the mine and the expansion of the production plant can then be paid out of the current fiscal. However, that would require the production of a year to be spent / 15,000 oz X ($ 1300 - $ 700 estimated cost of production) = 9 million dollars in profits -. 30% tax = 6.6 million dollars / This is admittedly a rough calculation that does not have to agree, shows but that certainly is a possibility that Cadan Resources could be debt free at the end of 2015 and the money would be available in 2016 for a production extension. All this is speculation on my part and one can accuse me that I have the rose-colored glasses again. Whether it does, we'll see. But the fact is that the current market capitalization of ~ 3 million dollars is out of proportion to the potential of T'boli and Batoto. For Batoto a historical resource calculation exists of 2.1 million ounces of gold and an inferred resource calculation for T'boli of 1.1 million ounces of gold at grades of 8.7 g / t and 3.3 million ounces of silver at 27 g / t. Both regions have the potential for the multiplying the resource.
For these two reasons I'm invested here.
1 start of production
2 very promising properties.