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Skeena Resources Ltd T.SKE

Alternate Symbol(s):  SKE

Skeena Resources Limited is a precious metals developer that is focused on advancing the Eskay Creek Gold-Silver Project, a past producing mine located in the Golden Triangle in British Columbia, Canada. Eskay Creek represents one of the highest-grade and lowest cost open-pit precious metals mines in the world, with substantial silver by-product production. It also owns the past-producing Snip gold mine (Snip). In addition to Eskay Creek and Snip, the Company also owns several exploration stage mineral properties in the Golden Triangle and Liard Mining Division of British Columbia. Its 100%-owned Eskay Creek Project is a high-grade volcanogenic massive sulphide (VMS) deposit. The Snip mine consists of one mining lease and eight mineral claims totaling approximately 4,546 hectares (ha) in the Liard Mining Division. It has staked a 74,633-ha Hoodoo Project, located approximately 65 kilometers northwest of Eskay Creek. It also has interests in KSP property.


TSX:SKE - Post by User

Post by templetooth2on Nov 22, 2023 9:55pm
254 Views
Post# 35749523

Sold some

Sold someOn this bounce I've lightened up. These $18 target prices are cruel and hilarious. Believe them at your peril. 

If you have a position in Skeena, as I do, you are entirely at the mercy of the bot-deal financing model. Yes, Walter Coles says they will rely heavily on the streaming avenue, but that still leaves by my guess a needed equity component of (minimum) Cdn $200 million. That means ballpark 50 million new shares of dilution. 

If instead of 95 million shares outstanding (fully-diluted) you need to calculate 145 million, then your $18 target becomes $12. Still a wonderful return, but more likely 2 years hence,

Or you could pursue a non-dilutive mine-financing transaction. 
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