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Otso Gold Corp. V.OTSO

Otso Gold Corp is a gold mining company. The company's only segment being acquisition and exploration of gold resource properties. Geographically, it has a presence in the Americas and Europe.


TSXV:OTSO - Post by User

Post by rborhion Feb 07, 2020 2:11pm
178 Views
Post# 30659520

Some math

Some mathSo let's say they get on track with 95,000 oz production per year, with $1000/oz cost and gold price of $1550.

95,000 x $1550 = $147,250,000 revenue
95,000 x $1000 =  $95,000,000 cost
leaves $52,250,000 profit US dollars = $68,000,000 CAD
with 222 million shares fully diluted, that's 30 cents/sh per year profit.

So what multiple to put on those earning, 5x is $1.50 share price, 10x is $3.00 share price.

Say the profit is lower by a third at 20 cents/sh, you still get $1.00 to $2.00 per share.

And gold price could be higher by July.

If all goes according to their plans.

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