It's way too early to do a serious valuation but a quick back of the envelope one:
2.2Billion shares on issue.
El Palmar valuation based on a billion tonne deposit at somewhere between 0.7 and 1g/t Au equivalent? Solgold up the road is currently valued by the market at approx A$1.13 Billion. Solgold's Cascabel is a more copper versus El Palmar more gold (so far) porphyry. Also, keep in mind that porphyry deposits usually fatten up at depth. There is a lot of ore down there and the company has already stated that they have confirmed mineralisation at depth even if the first deep hole had the drill rod pushed away from an ideal orientation due to rock properties. I found it amusing that the market sold Sunstone off on that announcement simply because there was the knee jerk reaction that there would be weaker assays when in fact what
they proved was that they have a MUCH larger orebody coming through in the next few months. The following image gives some indication of relative sizes of El Palmar and Cascabel...El Palmar could turn out to be far more economic, time will tell. Note the fat bottom on both images.
Bramaderos valuation will be easier in 3 to 6 months time when geophysics and follow-up drilling are completed. However, for now and based on company commentary that the core at Alba in later holes is similar to the first hole where they found 111m @ 2.35g/t Au and the subsequent porphyry discovery underneath the high grade zone I would suggest they are well underway to having a second major porphyry. In addition, they also have the considerably larger but lower grade deposit at Brama that they have been drilling out for 2 years The initial resource at Brama is due this quarter and it will be just the beginning point. Likely valuation between A$500M and A$1B ?
Then add the current work program that will no doubt get expanded before too long...
So at this point I'd say an
eventual target valuation of the deposits at A$1.5 to A$3 billion. They will highly likely be taken over by a major, maybe Newmont? Whoever that major is will then go on to make a great deal more from these two deposits. So with 2.2B shares on issue (SOI) I'd guess 60c to $1.50 per share at the conclusion of resource definition?
I do expect news in the next day or two as they said early Feb and if it is much later we will be in mid Feb.
PS For the geologists or those interested in Geology, Steve Garwin from Solgold is discussing porphyries again this evening on Ore Deposits hub.
(20min delay)