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Abcourt Mines Inc V.ABI

Alternate Symbol(s):  ABMBF

Abcourt Mines Inc. is a Canadian gold exploration company with properties located in northwestern Quebec, Canada. The Company owns the Sleeping Giant mine and mill, where it focuses its development activities. The Sleeping Giant Property is located half-way between Amos and Matagami, in Abitibi, Quebec, in the territory covered by the Plan Nord of the Quebec government. It comprises four mining leases covering an area of approximately 458 hectares and 69 mining claims. The Elder mine and the Tagami property are located 10 kilometers (km) northwest of the mining community of Rouyn-Noranda in Quebec. The properties include over 36 contiguous claims, one mining concession and two mining leases. The Abcourt-Barvue property is located 12 km north of Barraute, 60 km north of the mining community of Val-d’Or, Quebec. It covers over 4,755 hectares with 103 claims and two mining concessions. Its properties also include Flordin, Pershing-Manitou, Vendome, Aldermac, Jonpol and other properties.


TSXV:ABI - Post by User

Bullboard Posts
Comment by jmm1228on Mar 06, 2016 9:35am
243 Views
Post# 24627164

RE:RE:Back of the Envelope Calculation

RE:RE:Back of the Envelope CalculationI agree with your thinking. With gold at $1100 earnings look to be about 2.5 cents /share/year. At $1300 gold that rises to around $.04/year. The new mill should double production and those EPS numbers without adding the benefit of reduced milling cost.

So, if the gold price holds near these levels then potential earnings could be at the $.08/share level by year end. A multiple of 12x gets the stock value to $.96. One could make a case that the NPV (at 8%) would then nearly equal the market cap if this example pans out.

The gold newsletter gurus will be all over ABI in time - their subscribers being the first to get their opinion. That's a momentum builder likely to be unleashed, after the mill deal is closed and operational but perhaps sooner.

All my opinion - for what it is worth.
Bullboard Posts