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Mandalay Resources Corp. T.MND

Alternate Symbol(s):  MNDJF

Mandalay Resources Corporation is a Canada-based natural resource company with producing assets in Australia (Costerfield gold-antimony mine) and Sweden (Bjorkdal gold mine). The Costerfield operation is located in Victoria, Australia, within the Costerfield mining district, approximately 10 km northeast of the town of Heathcote, Victoria. Youle and Shepherd are the main source of material for Costerfield. The Costerfield operation has a land package of approximately 1,219 hectares. The Bjorkdal operation is located within the Boliden mining district, approximately 28 km northwest of the municipality of Skelleftea and approximately 750 km north of Stockholm. The Bjorkdal mine produces ore from the Aurora zone underground mine, as well as from a stockpile of low-grade material accumulated over the course of its life of mine. The Bjorkdal operation has a land package of around 12,949 hectares. Its non-core properties include Lupin mines (Canada) and La Quebrada (Chile).


TSX:MND - Post by User

Post by challenger426on Jan 19, 2023 2:47pm
452 Views
Post# 35233928

MND seems so undervalued

MND seems so undervaluedAfter looking at the guidance for 2023, MND could be a double from here.  I used the same method on PRU back in September which I thought could double and it did.

MND 2023 estimates:
Using 92.5M shares outstanding.
AISC of $1150-1325/oz
105,000-118,000 oz production guidance
Non Sustaining CapEx between $16M to $22M:

My worst to best case value of MND using $1850/oz average share price for 2023
Range of $3.58 - $6.55 /share with CapEx of $22M
Range of $4.23 - $7.20 /share with CapEx of $16M

My worst to best case value of MND using $1950/oz average share price for 2023
Range of $4.72 - $7.83 /share with CapEx of $22M
Range of $5.37 - $8.48 /share with CapEx of $16M

So each $100 increase in the average gold price increases MND's share value by over $1/share
Also, MND is profitable, is buying back shares, and could easily be taken out since its market cap is around $232M.

Again, with MND sitting around $2.50/share is very undervalued in my opinion.


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