OTCQB:TSORF - Post by User
Post by
geolteacheron Dec 03, 2024 10:17pm
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Post# 36344331
interesting company:
interesting company: - in the lowlands of Chile, not far to pipe seawater in, nor far to bring electricity, near roads, not far to transport ore to a port - compared to the many projects in the high andes, where almost everything will cost more.
- this is a gold project, not a copper project.
- say thay can produce 93,000 oz Au/year at usd$1068 AISC.
- say they're four years from production.
- only 40% of shareholders are retail.
- global mining company Gold Fields owns 18%.
- releases a PEA in April 2023: at usd$2600 Au and 5% cost of money, the IRR should be about 64% (pretax, darn them) and the NPV about usd$600M.
- initial capex only usd$135M.
>>> you don't often see a company with a recent PEA that has an NPV five times the capex.
The CEO said NOv 24th, he expectesto see the project grow to 4 to 5 M oz in the two to three years.
John Kaiser says that single project companies with viable projects at the FS stage should have market capitalizations of about 1/2 to 3/4 of their NPV.
Tesoro Gold has a market cap of about $35-40M, australian dollar.
At half of NPV, it should be worth about $300M.
Tesoro says it'll release an FS in 2026. Tesoro trades primarily in Australia. It has very low volume in Canadian and US markets.
I expect that trading will slowly pick up over the next three years.
I threw down a long-term stink bid, hoping someone will just lose patience and offload at any price, so they can chase another dream.