Metanor Resources MEAOD

PEA vs. PEA 2 Companies 1 District Play...

[u2bob]

1,767.38 +5.54  ... below you have Osk Windfall PEA vs. MTO Barry PEA ...

Non producer OSK with cash trading at $3.22 share ...vs...

Producer MTO with Permitted Open Pit .085cents share ...sounds like David vs.Goliath...lol

Question being.... Goliath (OSK) WANTS DISTRICT PLAY...David (MTO) WANTS TO SURVIVE ...

OSK ...Parameters of the Preliminary Economic Assessment



 

MTO PEA...

Technical Summary
Mine life (LOM)	9 years
Pit resources	3.612Mt
Average diluted grade gold	1.75 g/t
Uncovering rate (sterile ration: ore)	2.17:1
Tonnage treated per year	420,000t
Average annual production sold	21,495 oz
Gold produced and sold total	193,457 oz
Main Capital cost	CAD
Overburden stripping	0
Processing plant	$1.1 M
Road repairs (40 km)	$2 M
Mine, Drilling, Feasibility	$2.85 M
Tailings	$0.55 M
Infrastructure	$2 M
Total starting capital cost	$8.5 M
Operation cost (per ton processed)	CAD
Mining cost	$27.28/t
Processing cost	$19.90/t
Exploration (resources renewal)	$2.01/t
Accommodation & employee transportation	$1.88/t
Increasing of the tailings pond capacity	$0.15/t
Administrative fees	$6,76/t
Financial results before taxes with a price of gold at 1,560 / oz (CAD)
NPV at 6%	$53.50M
IRR	198%
Cost for the production of one ounce	$1114/oz
Capital reimbursement period	0.58 yr
Available Cash Flow	$61.15 M
Financial results after taxes with a price of gold at 1,560 / oz (CAD)
NPV at 6%	$25.9M
IRR	94%
Capital reimbursement period	0.71 yr
Available Cash flow	$30.95M

The financial analysis using a price of gold of CAD$1,710, representing a 10% increase from the $1,560 used in the PEA would generate a NPV of $78.07 million with an IRR of 246% before taxe

So once drill results come in from Barry showing that there is gold trend running through out the property...and possible second open pit ...the question becomes not who`s PEA is better but which one is most likely too start producing gold first like an ATM Machine spitting out cash !

Earnings shoiuld start the stock moving up ...but the real driver will be how much more gold is at Barry and if its shallow look out ...because size does mattter !!!! When it comes to open pit mining just ask OSK...they will not want to have to wait 5 years to pour there first gold from the Barry area ...MTO GIVEN THAT KIND OF HEAD START WITH OPEN PIT ALREADY IN PLACE WITH MILL ... CAN NOW USE THE SAME PHRASE AS OSK..." THIS WILL BE A COMPANY MAKER "... I'M NOT SELLING AT 9 CENTS !!!

Later...
Bob