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Lion One Metals Ltd V.LIO

Alternate Symbol(s):  LOMLF | V.LIO.WT

Lion One Metals Limited is a Canadian gold producer. It is in the business of mineral exploration and evaluation and is focused on the development of mineral resources in Fiji. The Company is the owner and operator of the Tuvatu Gold Mine located on the island of Viti Levu in the Fiji Islands. The Tuvatu Gold Project has been fully permitted for development, construction, and mining by the Government of Fiji with the grant of a Special Mining Lease (SML 62). The Tuvatu project comprises the high-grade Tuvatu Alkaline Gold Deposit, the Underground Gold Mine, the Pilot Plant, and the Assay Lab. The Property comprises four special prospecting licenses (SPL 62), with a total area of 20,170.5 hectares. It also has an extensive exploration license covering the entire Navilawa Caldera, which is host to multiple mineralized zones and highly prospective exploration targets. It holds four exploration licenses for the Tuvatu properties as granted by the mineral resources department.


TSXV:LIO - Post by User

Comment by Puma1backon Oct 01, 2024 11:48am
166 Views
Post# 36248396

RE:Q3 results

RE:Q3 results

one of the more interesting disclosures is in note 3.


Looks like a year ago , just before Q1 ended they tested the carrying value for the mine & mills and they came up seriously negative producing what would have been almost a 40% writedown of the carrying value. Close to a $60 m - 

so as part of the year end in Q4 this June they recalculated the carrying value test with an updated gold price  based on current markets.

the project flipped from a -$60m  net present value to a $17m positive NPV. That isn't a huge flip and shows these guys were either brilliant with their gold price forcasts or just lucky.

That $60m hole would have ended the company imo: the somewhat slim $17m npv though is likely pretty cautious as they used an npv rate of about 20%. That is a pretty high discount rate 



erieshore wrote: 9 million USD in gold production in Q3 is very promising. Plus good new drill results.
I'm in for the long haul. 

 

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