Valuation Golden Arrow: Silver Mine Play
by Gold Panda
Source: Seeking Alpha
Back in January 2017, I wrote an article regarding three emerging mid-tier primary silver producers. At the end of March, there was a significant development for one of them - Golden Arrow (OTCQB:GARWF). read more »
Valuation
According to Golden Arrow's latest corporate presentation, the company's worth close to CAD 100mn (USD 74.6mn) with upside and exploration potential expected to boost this to over CAD 140mn (USD 104.5mn):
I think it's a fair valuation - not too aggressive nor too conservative. It takes the middle of the range of Pirquitas' 2017 expected output and a 10-year operation at Chinchillas which is easily achievable at current silver prices with some exploration and the addition of the high-grade underground area at Pirquitas. This CAD 100mn (USD 74.6mn) estimate values each Golden Arrow share at around CAD 1.03 (USD 0.77), a pretty nice upside potential from the current USD 0.53 level.