Day Trader’s Weekend Aftermarket Lounge 18-20 Sep 2020, page-197

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chuk

13,470 Posts.

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21/09/20

10:02

Post #: 47494299
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Originally posted by chuk: ↑

Good to hear you hold TTM.
Canaccord released a research note mid week. On page 23 they mentioned that Jerusalem project which hosts 1.2mill oz at 14g/t is one of TTM's assets but it had been under legal dispute. That is why it hasn't been mentioned by TTM after they acquired Core's assets. The research note also said that a court has found in favour of TTM and I believe the company will announce all of this when it comes out of trading halt. I've been told that will be tomorrow. I was surprised to learn this when I read the note on Wednesday night because I have researched TTM heavily and I found no mention of Jerusalem by TTM. I think this news will take the market by complete surprise so the sp reaction could be big.
TTM's Dynasty project hosts 2.1mill oz at 4.5g/t. If they announce that they have added Jerusalem to their portfolio, the total resource will grow to 3.3mill oz at around 8g/t. That should be a big attention grabber and the company should attract a lot of interest from investors, brokers and insto's with a resource like that.
The market currently values Dynasty at around $70/oz. If the same rate is maintained on the 3.3mill oz, the sp could jump by just over 50% to 21c.
$70/oz x 3.3mill oz = $231mill market cap which equates to around 21c. With the much higher grade, a higher multiple than $70 might be applied. Cannacord applies a valuation of $114/oz which is the industry average, for a sp valuation of 22c for Dynasty alone.
It should be an eventful week for TTM.
The new drilling program was also reported by Canaccord as being imminent. That may provide a further boost over time ahead of the planned JORC release later this quarter.

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Even better than I thought for TTM's re-instated Jerusalem project. A few more ounces, higher grade at 14.5g/t and 98g/t silver credits.

"Existing resource totals 1.28Moz gold averaging 14.5g/t and 8.6Moz silver at 98g/t in most recent Canadian NI 43-101 compliant mineral resource completed in 2014, comprised of:

o Measured & Indicated – 955,000 tonnes @ 13.8g/t gold and 93g/t silver for 423,000oz contained gold and 2.86Moz contained silver
o Inferred – 1,775,000 tonnes @ 15g/t gold and 101g/t silver for 856,000 oz contained gold and 5.76Moz contained silver"
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