Obviously there are a lot of variables there and would need debt...

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Jimbill

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20/04/24

13:40

Post #: 73437770
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Originally posted by MicroNova2035: ↑

Hey rodb, correct me if I am wrong, but this is extremely early days for PNT, with no gold resourse booked at all, compared to almost 1 million oz of Gold with AUN? It looks like PNT would be years away from any Gold production, whilst AUN could be a producer in as little as 5-6 months with an existing processing plant. Assuming AUN refurbs to 750ktpa and at 1.5 grams Gold per ton, AUN could be pushing out around 1,125,000 grams of Gold pa (around 40,000 ounces per annum). The current Gold price is approx. $3,700 AUD per ounce, so that is around $148 million gross revenue per annum.
Sure, the cost would be around $2,000 per ounce, including cash cost, refurb costs, etc, but that would still leave a gross profit per ounce of around $1,700 AUD per ounce, or around $68 milion per annum (i.e. $1,700 per ounce x 40,000 ounces per annum = $68 million per annum).
Why do you think Collins Street Asset Management bought in? They are pretty clued up and switched on operators. In my opinion, they have seen the disparity between AME and AUN and noted that we have 20% more Gold than AME, plus a processing plant, so we should probably be worth 50% more than AME, or approx. $45 million AUD. If so, we should already be sitting at approx. $0.10 per share. And that's not to say that AME is overvalued at all, but we are just way too cheap, and still waiting on our rerate!
PNT seems know where near that position, to generate actual cashflow?
All the best!
Cheers
MicroNova2035

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Obviously there are a lot of variables there and would need debt so will be dilution but just broadly looking at your figures that would be around 16c value per year based on current SOI if I’ve worked that out correctly. That’s also assuming gold doesn’t continue to head north so could be even more.

Assays should only be 3-4 weeks to build on the existing resource.

Would love to see Collin st continue to add on market and a change of sub notice.

AUN Price at posting: 5.2¢ Sentiment: Buy Disclosure: Held
2 Upvote

1 Great analysis

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