RE:Valuation
Global1966 wrote: Interesting to know how the market is pricing NFG. Are there any experts out there to give us a view on this
I'm no expert by any means but I've been playing the mining juniors for about 30 years. So based on my experience and I've watched several big buyouts over the years I'm comfortable giving NFG a 3 billion dollar valuation at this stage of the game. And I base that on a lot of different things but mainly I base it on the extremely positive drill results that NFG has continuously delivered month in and month out for 8 months now on this Queensway property. If you go back and look at all the drill results from past news releases it is very impressive. I was told there was rough calculations two months ago of the Keats Zone having 4 to 6 million ounces and the Zone has been extended to the south north and at depth a few times since that time.
The mineralization has been drilled to 425 meters down plunge but the vertical depth is just around 200 meters I do believe. So we know from the Fosterville gold system which geologists say is similar to the Queensway property that these type of epizonal gold systems can extend to a depth of about 1500 meters. So just do the math on how many more ounces can be discovered as they follow these high grade zones deeper down. The Keats Zone could end up being 4 or 5 times the amount of gold they have already discovered. The amount of gold that could possibly be found is mind blowing. Nobody can really put a figure on it because it is an unknown but I can make an educated guess and I would think that just the Keats Zone will have a minimum of 10 million ounces and that is being very conservative in my mind. And to think Quinton Hennigh said the Lotto Zone is similar and they are also drilling on the Knob Zone which was the only zone to have a historical resource and there is the Sunday Zone on the main Appleton fault itself. And the Appleton fault extends 115 km through the Queensway property.
I'm telling you guys what New Found Gold has here is absolutely mind blowing!!! How much gold will be ultimately discovered nobody knows but it will most likely be in the tens of millions of ounces of gold once all is said and done. They will finding more gold for decades to come. This is a district scale discovery. This is a very rare big high grade gold discovery and the only think I can compare it to would be Fosterville and that was deep underground. Queensway is near surface so the costs will be low and it certainly looks like the amount of gold that will be found at Queensway will far exceed Fosterville and that mine took Kirkland Lake's valuation from one billion to over 10 billion. Ultimately NFG could have a share price of $50 to $100 and I'm not kidding!!!