RE:RE:Why Is Santo Tomas Number 1 in the WorldIMO, Oroco will have a higher acquisition price than Solgold, relative to its NPV. Solgold's CAPEX would be significantly higher and development would be understood to be much riskier, with a higher liklihood of technical challanges and cost overuns. Alpala is an undergound block caving operation, which carries a MUCH higher cost, both CAPEX and OPEX, and has significianlty more tecnical challanges than Santo Tomas' simple open pit.
As an example, the developmet of a similar underground operation at Oyu Tolgoi resulted in a h"cost blowout " for the developer....
https://www.mining.com/rio-tinto-faces-1-9bn-cost-blowout-further-delays-at-oyu-tolgoi-copper-gold-mine/ In an M&A transaction this risk would manifest itself in a lower price for Solgold relative to the NPV, and it would also limit the number of buyers as it's a much smaller number of companies with the technical know-how to take on a project like Solgolds.
And, IMO, Mexico represents a better regulatory environment than Ecuador, with more predictable permitting.
So, if both SOLG and OCO are in similar value positions now, it's OCO that will perform better relative to SOLG, both as the resource is confirmed and expanded, and in an M&A transcation.