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TMAC Resources Inc. T.TMR

TMAC Resources Inc is an industrial metals and materials company. The business acquires, explores, and evaluates mineral properties. Its lone business segment is Mining; this segment is engaged in the exploration and development of precious metal resources, primarily gold. The company generates the vast majority of its revenue in Canada. TMAC Resources' primary mine is located in Hope Bay, in the Kitikmeot region of the western Nunavut Territory. TMAC mines for gold resources and inferred minera


TSX:TMR - Post by User

Post by templetooth2on Nov 01, 2019 2:21pm
96 Views
Post# 30298556

Rough and Ready Agnico Arithmetic

Rough and Ready Agnico Arithmetic
In US $.

Agnico has a market cap of $14.58 Billion with proven and probable reserves of 22 million oz.

They just brought onstream the Amaruq open pit mine with just under 3 million oz for $397 million.

Let's say they acquired TMAC for $486 million plus $112 mm debt = $598 million or $600 round numbers. Let's say they invest $400 mm capex to solve Doris AND build another mine that possibly produces 240,000 annual ounces. Combined with Doris at 160,000 that means 400,000 annual oz.

The end result is that for $1 Billion or 6.8% dilution they add (at least) 3.6 million oz or a bump of 16% to reserves and about 20% to annual production (from a level of 2 million oz) expected in 2020.

Impressive, no?
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