RE:RE:Site visit: Integra Gold’s Lamaque Project I have to second that, Frankyboy thanks for posting Gwen Preston Wright up on Integras Lamaque project.
This is the part I was most taken by in Gwen’s report,,,, Share Count.
We started out with 36 million shares now we are over 475 million fully diluted, but it’s ok as long as “Integra doesn’t have to develop all the deposits; prove the path for how Lamaque can reach 200,000 oz. of annual production” and the majors will come calling !
Gwen Preston from Resource Maven
The knock against Integra is its share count. I hear it all the time and I understand. Yes, I would prefer if the company had 100 million shares out instead of 475 million.
Why? Because whether Integra is bought or puts Lamaque into production itself, this is a single asset company. Its value stems from that one asset and its share price is that value divided by the number of shares. In the case of a bid, the value is a tangible per-share amount; in the case of Integra evolving into a miner, the share price is limited to the asset value divided by the number of shares.
However, the count is what it is. It’s a result of advancing a project despite a bear market. And it hasn’t prevented ICG from enjoying a sustained share price climb.
Integra has enough money in the bank to fund its activities to the end of 2017, including finishing the underground ramp, and still have $5 million in the bank. This team would not let its bank account get that low, but the odds of ICG still existing in 16 months are slim. I do not expect the company to raise any more funds for a year. In other words, the count will likely be 475 million, its current level, when someone takes the company out.
After seeing the asset firsthand and getting up to speed on what Integra wants to accomplish in the next 12 months and why, I plan to stick around until that bid appears.