RE:PEAThe 2021 Reserve Case and 2021 PEA use $3.35 CU and $1591 gold.
So do some quick math on your abacus, Mister, and I believe you get a rise of approximately 30% in copper to $4.25 and 38% in gold to $2200. Copper is the predominant value in the ore, so overall the NSR net rise is likely around 32% or so. But the NSR rise won't equate to the NPV change because as you say, production costs may have risen. On the positive side time to cashflow has shortened so there is a reduced discount and the NPV will accordingly be higher quite apart from any other factor. And we can watch the metals prices as they are overshooting the prices you have chosen.
i doubt interest rate rises since 2021 have much effect because they will be industry assumption long term financing rates at the long end of the curve. That is reflected in stock valuation P/E assumptions as well. Producing miners tend to be valued at about 20x net earnings, streamers get a higher valuation, I guess because they have diversified income streams that have been de-risked by no variable or inflating costs or further financing liabilities through to production. That was the essence of the Edison valuation - that ETG should be valued more as a streamer with a higher P/E multiple.
On that score the confirmation of the size of Lift 2, and the probable advancement of Lift 2 development plus an expansion of production capacity at OT would be a massive boost to ETG's inherent value - more annual production earlier and for a much longer time (although after about 25 years future production the current NPV of the continuing production beyond 25 years may not be financially significant today).
At least that's how this self-educated observer has tried to make sense of our value. You are can't tell from the limited volume stock trading. It wasn't so many years ago while Rio and Mongolia were staging a big public spat they managed to get ETG trading down to a market cap about equal to cash in treasury alone, and TRQ wasn't doing much better. Suited them just fine, though.
Although today we are profiting by standing by watching metals prices rise and hopefully some value increasing drilling coming out of the JV, those years draining treasury and diluting our share float at depressed prices were painful and extremely expensive penalties for the failure to negotiate a sale way back in 2009-2010. A-holes.
cg