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Wallbridge Mining Company Ltd T.WM

Alternate Symbol(s):  WLBMF

Wallbridge Mining Company Limited is a Canada-based company, which is engaged in the exploration and sustainable development of gold projects along the Detour-Fenelon Gold Trend in Quebec's Northern Abitibi region. The Company is focused on advancing its 100% owned Fenelon project and Martiniere project. The projects are situated within the Company's approximately 830 square kilometer (km2) Detour-Fenelon Gold Trend Property located in the Nord-du-Quebec administrative region approximately 75 kilometers (km) west-northwest of the town of Matagami, in the province of Quebec, Canada. Its Detour-Fenelon Gold Trend projects include Casault, Detour East, Grasset Gold, Harri and Doigt. The Company owns a 100% interest in the Nantel property. Its other gold assets include Hwy 810, Beschefer and N2 Property. The Grasset gold property is located immediately east of and adjoins the Fenelon property. The Company also holds approximately 15.8% interest in the common shares of NorthX Nickel Corp.


TSX:WM - Post by User

Comment by inviolablspiriton Apr 17, 2024 4:33am
182 Views
Post# 35993108

RE:RE:Share Price of WM

RE:RE:Share Price of WMThe $76.26 US/oz was the average price paid for reserves & resources between 2012-2021.  The average price of gold for that same time period was $1424 US/oz.   So if you take $76.26 US/oz x 212000 oz/year x 12 years = $194 005 400.  That number would be the market cap value of the company based on $76.26 US/oz.  Divide that number by the outstanding shares 1 020 000 000 and you get a share price of $0.19.  

The $171.45 US/oz was the average price paid for reserves & resources in 2021, the latest data I could find.  The average price of gold for that same year was $1800 US/oz.   So if you take $171.45 US/oz x 212000 oz/year x 12 years = $436 168 800.  That number would be the market cap value of the company based on $171.45 US/oz.  Divide that number by the outstanding shares 1 020 000 000 and you get a share price of $0.43.

The higher numbers I gave in a previous post are for gold prices paid for gold reserves.  Average gold price for reserves between 2012-2021 was $189.98 US/oz.  And the average price for reserves in 2021 was $436.41 US/oz.   $189.98 US/oz = a share price of $0.47 and $436.41 US/oz = a share price of $1.08.

At this point WM only has a resource estimates of indicated and inferred which don't hold the same value as reserves which are measured.  However, given the current price of gold $2380 US/oz (at the time of writing this) compared to what the average price of gold was between 2012-2021 (i.e. $1424 US/oz) and the average price of gold for just 2021 (i.e. 1800 US/oz), I think it is reasonable to use the reserves & resources numbers for minimal estimates of value for WM given that the current price of gold is $956 higher than the average paid for gold/oz between 2012-2021 and $580 higher than the average paid for gold/oz in only 2021.  

The value of those price increases alone increase the value of WM between $1.467 billion and $2.432 billion. That equates in full value of a share price between $1.43 - $2.38/share on only the $580 increase and the $956 increase in spot gold.   So given this tremendous increase in the value of WM, I think it is fair to use the reserve & resource numbers as a minimum estimate to value WM's indictated and infferred resources.  

Bare minimum =  $0.19/share,
more reasonable = $0.43 to $0.47/share  
high end = $0.74 to $1.08/share.  

The full value of WM indicated and inferred resources @ $2380 US/oz gold is currently sitting at $6 054 720 000 US.  In Canadian dollars, that's $8.363 billion!!!  So for a Canadian share price that equals $8.20 at full value.  

1/8 of that value is $1.02 CAD,
1/10 = $0.82,
1/12 = $0.68,
1/14 = $0.59,
1/16 = $0.51,
1/18 = $0.46

What have been the costs of recent gold mine aquisitions for companies.  Anyone know?  I have not taken a look.  Did they get taken over at 1/8 their full value, 1/14, 1/18 ????  Then we will have more current estimates of what WM is worth.  
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