Geodrill Limited T.GEO

Back on envelope calculation on new contract

[FrozenInOntario]

Rough calculation,they just booked 20% of their fleet for 19 months for 45 millions USD.   So on average 158 000 per rig per month.    Trailling 12 months revenu : 112 millions  so roughly 131 000 for 71 rigs.    So this equals to an increase of 20%.   With an expansion in margin if I decode Harper's comment on improving economies of scale. 
If a miner gets a deal at this price per drill when booking 20% of the fleet, i wonder what are the going rates if one would want to book only 1 or 2 drills.  Got to be higher.  Much higher.
2022 should be pretty pretty good...
And no mention of a major contract in Egypt as Harper was hinting at a month ago.
GLTA

[ubiquitousman]

Should earn at least 50 cents a share(USD) in 2022. Put a 8 PE on it and we are at $ USD. Problem is a little small cap like this gets no institutional investors and the little guys are all about tech. No one wants a  well managed company makeing money, underpriced(in my opinion) and with exposure to the gold mining sector that could really take of this year. One of these days....

[FrozenInOntario]

0.50 USD or say 0.62-.63 CDN ?  Well considering that they are currently doing 0.30 for the last ten months, you expect pretty good results for 2022 :).   As a big chunk of costs are fixed, the leverage is quite high so it is quite possible as a scenario. All the drillers went down in the last months like if the market expected that the cycle was starting to turn south.