OTCQX:DMMIF - Post by User
Post by
RONNIE111on Dec 13, 2019 11:01pm
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Post# 30454405
My Investorhub Reply
My Investorhub Reply I cannot comment on the veracity of the claims about an offer being in for Core Gold, certainly it is just a rumor at best. But if it were true...
Core would get 33 cents a share for Dynasty Gold Fields, or $55 million. And it wasn't stated if those are $ C or $ US. Some would consider $ 55 m for DGF to be ok. And there would be a $ 10 m financing (loan?).
So Core would have $65 m. They could pretty quick expand Porto Velo Mill to 2,000 tpd, reopen and develop Zaruma underground, develop Linderos as a second source for Porto Velo. With any luck get production to 100,000 oz au per annum. Comparing that to others like Fruta del Norte that would be worth $300 m miniumum. And then they get Jerusalem back and sell it to Lundin or someone else for $50m, and drill Copper Duke a whole bunch and sell it for anywhere from $0 to $500m.
When I add that all up I get much much more than an offer of three shares in a company which at this time has absolutely no net assets. Their only assets, the 10 m shares of Core are collateral for the loan needed to acquire them.