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Euro Sun Mining Inc T.ESM

Alternate Symbol(s):  CPNFF

Euro Sun Mining Inc. is a Canada-based mining company. The Company is focused on the exploration and development of its 100%-owned Rovina Valley gold and copper project located in west-central Romania. The Company holds the Rovina Valley Project through a mining license which covers a total of 27.68 square kilometers (km2). The Rovina Valley Project consists of three copper-gold porphyry systems referred to as Rovina, Colnic and Ciresata. The Colnic Deposit is located approximately 2.5 km south of the Rovina Deposit and the Ciresata Deposit is approximately 4 km south of the Colnic Deposit. The Rovina gold deposit holds about 400 million tons of confirmed resources containing 7.0 million ounces of gold and 1.4 billion pounds of copper.


TSX:ESM - Post by User

Bullboard Posts
Comment by urai58on Apr 12, 2019 7:48am
145 Views
Post# 29617126

RE:RE:Personal analysis of the current situation at ESM. Part 2.

RE:RE:Personal analysis of the current situation at ESM. Part 2.
Thanks grape562000 for the questions. I like to comment.
 
1. For the current fair value, I only use the resources of Colnic. Everything else is way too far in the future. That's 29% of 10 million ounces, 2.9 million. At the moment and for the next 10 to 12 years count only these. In addition, it has to be taken into account that CAD 12m has to be invested again for BFS and ESIA alone. Without costs for management, F & M. With 70 million shares and a financing of CAD 12m at a price of CAD 0.40, the total is 100'000 million shares. So a theoretical enterprise value from CAD 20m (CAD 0.20 / share) to CAD 40m (CAD 0.40 / share). That means CAD 7 to CAD 14 per AuEq.
 
In addition: the project is not profitable with the current price of gold and copper! IRR is too deep. Add to that the Warrants and Options and Deferred Stock Unit (DSU) for Stan, Scott etc.
 
2. Basically correct. The problem is that the name "Rovina" is ambiguous. 1. is the name of the project "Rovina" and has three deposits. 2. the deposit for the second phase is also called "Rovina". The exploitation of phase 2 can start at 20,000 tpd at the earliest in 16 years (2 years grant, 2 years construction, 12 years production Colnic).
In addition, Rovina can not go into production altogether, as the daily process rate is limited to 20,000 tpd. That's the real problem: CPN planned with 40,000 tpd. Also, the Cantor report went from 40,000 tpd. Scott Moore keeps writing it: multi-generation project. this means at least 50 years (1 generation = 25 years). And then we are at 20,000 tpd.
 
urai58
Please take into account, I have written the text in German and translated using Google translator.
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