RE:RE:Pedra Branca Evaluation ?17Digger wrote: The 2022 NI 43-101 inferred resource of 2.198 Moz 2PGE+Au gives Valore a present capital value of 12 million C$ at current share prices.
This works out to 18.3 cents per ounce.
If you assume that they will conservatively double this inferred resource to only 4.4 million 2PGE+Au ounces and also contirm them as proven resources, this would make the capita value 24 million C$ at current share prices.and this works out to 36.3 cents per ounce in C $.
If you think of them mining this project with an operating protit margin of say only a mere $100 C per PGE+Au ounce, then you see the amazing potential of the Valore share price even at current low prices.
That is my take on Valore's potential share price growth.
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I don't understand your calculation. For the current capitalization of 12M CAD and resources of 2,198M, this gives an average of 5.46 CAD per ounce and not 18.3 cents, does it seem to me?
An operating profit margin of C$100 per ounce PGE + seems to me a minimum that would leave a profit 18 times higher than the current capitalization, without taking into account a probable increase in resources.
Current resources of 2,198M are contained in 63.6M tonnes at 1.08 g/t. On its website, VO reported operating costs of US$15.5 per tonne, for a total of 985.8M and an average of $448 per ounce. This leaves a substantial difference in fixed costs and profit margin, and we hope that the selling price will not remain at the current level of $1,200!
Thank you for your reply.