Condor Resources Inc V.CN

The Math

[Crashcomingsoon]

If Condor were to prove up 5Moz AU, the value per share could be computed as

$1700/oz * 5M ozAU / 120M shares = $70 / share


Since this would be the value of mined gold, the in-the-ground value would be about 50%

$70/sh / 2 = $35 / share

[gpsairgoldteam]

Probably a good ballpark using a 50% margin. But if this is like Pierina....don't forget that at the time (mid 80's) Pierina was the cheapest gold in the world at $50 per ounce. In todays dollars that would still be under $200 mining cost. So Margin would be much better than 50%. $1500 margin vs. $850.

[gpsairgoldteam]

I was wrong. It was actually producing starting in 1999. So $50/ounce then is more like $80 mining cost today.

[gpsairgoldteam]

Now I'm seeing $90 cash cost mentioned. So about $140 and ounce in todays dollars.

[gpsairgoldteam]

Barrick paid $800 Million USD for Pierina in 1996. It was 3.5 million ounces, grading 1.6 grams/ton.

[gpsairgoldteam]

I keep running these numbers, multiple ways. Just seems unreal. Somebody correct me, but if $35 a share remains after AISC, what would be the payout? Even if corporate taxes and royalties amount to a third, and payout ratio is 80% or so....thats still a payout of $20/share. 10 year mine life= $2.00/share per year. At a cutrrent stock price of .17 USD, you're getting back over 10 times your