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Majestic Gold Corp. V.MJS

Alternate Symbol(s):  MJGCF

Majestic Gold Corp. is engaged in mineral resource exploration, development and extraction. It operates the Songjiagou open pit gold mine in the eastern Chinese province of Shandong. Songjiagou Gold Mine covers over 75.04 square kilometers in Muping, Yantai, Shandong Province, China. It has four separate tenements, including E36/918, E37/1334, E63/2110 (Kumarl) Tenement and E77/2817 (Moorine) Tenement. These tenements are located in Western Australia, an area with demonstrated potential for the discovery of lithium oxide mineralization. E36/918 tenement has been granted and consists of two blocks located 150 kilometers (km) North of Leonora, about 50 kms north of Leinster, along the east side of the Kathleen Valley. E37/1334 tenement has been granted and consists of six blocks located west of Leonora township, 200 kms North of Kalgoorlie and 700 kms northeast of Perth, in the Goldfields region. E77/2817 (Moorine) Tenement consists of eight blocks located 400 kms east of Perth.


TSXV:MJS - Post by User

Comment by DetVicMackeyon Jul 26, 2023 7:39pm
92 Views
Post# 35558713

RE:RE:RE:RE:RE:RE:RE:Of course

RE:RE:RE:RE:RE:RE:RE:Of course

@nozzpack What do you mean by much preferring an equity raise? 

The HKEX IPO is effectively a subsidiary equity raise but at a premium to the parent (MJS) company's valuation. This would substantially lower the cost of capital for MJS.

Songjiagou is indeed the cheapest producing mine that I have have on my spreadsheet which covers hundreds of mines. Unlike most producing mines which are in depletion, Songjiagou is still expanding in both production and reserves.

Management compensation and overhead is much lower than the industry average. I've seen so many c-suite execs using their mining companies to fund their lifestyles. While MJS does lack heavily in the promotion department, at least costs are very reasonable. Marketing MJS would not be very difficult post-IPO in my opinion. Should be easy to hire a PR specialist to sell the story. 

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