What High Grade Produced Gold Will DoAMRQ owns the Nalauq gold mine in Greenland.
Its market cap is $753 million
Nalunaq produced 350,000 ounces of gold at about 15 grams of gold per tonne from 2004 until 2013.
It still hosts a resource with a tiny tonnage but hefty grade -- about 355,000 tonnes inferred at 28 grams of gold per tonne, or about 320,000 ounces of gold.
Amaroq Minerals recently held its first gold pour at the revived operation, producing 39 ounces, although its snail-like commissioning program will continue until the operation hits nameplate capacity approaching 300 tonnes per day late next year.
And so, at about 280,000 tonnes per day and with a production grade expected around 14 grams of gold per tonne, Nalunaq could produce roughly 11,000 ounces of gold per quarter. At current gold prices that would generate about $29-million in revenue -- perhaps sufficient to trigger release of the third debt facility.
So, just 320,000 ounces in gold resources at 14 grams per ton producing 11,000 ounces per quarter and its market cap is higher than that of NFG.
Thats the consequences of a management team without a strategic plan, without an aggressive promotions program , but a very comfortable well paid life style , spending shareholders money like it was play money.
AIMHO