$SGO.v's Potential Continues To Increase With gold still being viewed as a favorable inflation hedge, I’m keeping an eye on some high-potential explorers to add some increased risk to the commodities portion of my portfolio.
I’ve been following Sonoro Gold (TSXV: SGO) for quite some time, and I believe that the company is currently quite undervalued given the results it has been receiving from its Cerro Caliche property recently.
The most recent PEA for the project had it at an after-tax NPV of US$41.5M with an IRR of 32.4%. This value was projected based on a gold price of US$1,750 per ounce, which has been far surpassed since the time of the report. Given the current price of gold, this NPV should be more in the range of US$45M.
I expect to hear updated results on the company's recent drill campaign soon. Initial assay results from the first 24 holes of a 10,000-meter drill campaign returned some promising values, including 27.43 meters averaging 5.36 g/t Au.
$SGO.v is currently valued at $21.47M and is trading at $.18.
https://ca.paidpromotionalmessages.com/companies/news/975448/sonoro-gold-reports-multiple-high-grade-gold-intercepts-at-cerro-caliche-in-mexico-975448.html