Monument Mining Ltd V.MMY

Current Fair Value of Murchison

[nozzpack]

Let's take a quick look at what it might be.

First, let's assume it will be its current book value based on costs.
Current Book is $32 million US which is about $40 million CAD.

I recall this was close to the deal that was contemplated with WestGold several years ago, which was a bit less than an internal putative offer ( cannot confirm ).

Now, a more relevant market cap analyses.
We will use ODY market cap as an excellent proxy.
Current market cap of ODY is $20.5 m AUD = $19.5 million CAD.

Remove from this the value of Stakewell which was acquired for $2,5 million, and has not be touched since its acquisition .
So, we have a net market cap of about $17 million for ODY's 80% ownership of Tuckanara .
Turkie has a JORC resource level of 81,000 ounces which will be converted by current drilling to 43-101 standards and in all likelihood increase somewhat when all is said and done.

Burnakura has 381,000 ounces already in 43-101  categories which makes those ounces statistically more certain than JORC standards.
Nevertheless, accepting equivalence of the historical and current resource estimation models , Burnie should be valued at about 4.7 times ( 381/81)  $17 million which is about $80 milion CAD.

Throw in the fully operational 260,000 tpa mill and 110 man mining camp at 6. 5 million and add 20% of ODY market cap = $3,5 milion and Burnie is worth about $90 million.

Then we have Gabanintha with JORC of  153,000 ounces  which is about double that of Turkie.

However, ODY has done quite a bit of drilling of Turkie but only modest amounts of Gabbie has been drilled by Monument .
So, arbitrarily , I use $7.5 m for the Gabbie asset .
This brings the total value of our Murchison assets to over $95 million CAD.

Sounds unbelievably  like a lot but it  is based on a real and very comparable gold asset in ODYs transformation of Turnakura from zero shareholder value into a very exciting project......

Just goes to show what a great management team can do to an asset than generates little shareholder value when managed by an otherwise incapable management team.

Surely, Dato must be aware of how much value could be unlocked by spinning out  Murchison, when nurtured by a professional management team .

GLTA

[yureja42]

This post has been removed in accordance with Community Policy

[sinusoid]

My legal advice (very highly eperienced albeit informal and from a different jurisdiction) was that fair value is the stock market price. This whole dissenting shareholder concept, forcing the company to buy back shares at fair value, exists to protect shareholders of non-liquid privately held stock, which can be difficult if not impossible to dispose of otherwise - and also for which it can be

[sinusoid]

Forgot to add: book value and analyst target prices have nothing to do with fair value

[Wayned52]

I only hope we move from Federal jurisdiction to Provincial jurisdiction very quickly . I can`t imagine there will be any action before then .  MMY lives under a cloud . It seems everytime we take 2 steps ahead we take another 1 3/4 back . Floods anybody ?  Covid ?  Covid part 2 , Murch put on hold ?Parts stuck in China ? Covid again ?    And now politics . A leftist

[romara]

So you think Pierre P, the professional protester and his "truckers" can do any better?..... he "Trudeau" met all their arguers "lawyers"  in the commission meeting on Friday, ...... and set them all  back .... Their jaws are still hanging.... I know he's not the best..... but he's the best we have at this time ..... Richard

[Wayned52]

No .   Pierre P and Pierre lite are exactly the same . There are no good politicians anymore . These guys have driven them all out . Nobody can deny Trudeau is a brilliant speech maker but even he isn`t listening . His speeches mean nothing . He is just waiting to move in on the top job at the UN after he gets the boot here . Then almost for sure we will get somebody worse . 

[pandsca]

Guys: This bullboard is NOT a soap-box for your political views. Lots of like-minded people ready and waiting to have a vast and insencive conversation about politics with you here: https://repolitics.com/forums/forum/16-canadian-political-discussions/ Else... Get a room.

[nozzpack]

Good point. it's now late November and the Oct 10/22 operational projection is looking very silly. Just another example of how nothing happens here on time....and that's about 5 projections here Re the FP that have not been met. You cannot effectively run what appears to be an unsupervised mining operation in Malaysia with the CEO and Chairman comfortably and remotely ensconced in

[Wayned52]

I don`t know if we are all missing something obvious or is it just an attitude that shareholders have no business with the company .   I like the chant of all mining companies . " Creating  value for our stakeholders . "   But that`s not true of any mining company . Their shareholders are just the piggy bank to get started .   Mining is easily the worst

[romara]

Maybe... what is running the company now, are his stooges.....Harry, Curly and Mo...... ......   Richard

[tsoprano24]

"   Everytime I diss our brave Prime Minister I lose a bunch of rep score . But it`s fun ." Wayne, I noticed the same thing when I bring up Brandon. That's why that score is so ridiculous. T