TSXV:EPZ - Post Discussion
Post by
Mineshack on Mar 01, 2011 11:55am
Cerro Jumil
Using a $1.70 share price with $27 million in the treasury and 46.73 million remaining shares outstanding, the market is valuing Esperanza’s other projects along with the San Luis 1% N.S.R. at only $52.41 million.
The start-up capital costs to mine Cerro Jumil are estimated to be $72 million. Annual production of over 50,000 ounces of gold is forecast at a cost of only $418 per ounce. That leaves over $1,000 per ounce after cost.
This company has the potential to earn $50 million per year from Cerro Jumil alone and it may start by borrowing less than the first year’s income!!!
I anticipate that Esperanza Resources is now on its way to becoming a very profitable Gold producer. The market is sometimes slow to respond but, I think it will soon be realized that the sale of the 20% interest in San Luis will allow the company to go forward.
I’m looking forward to the next press release.
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mineshack
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