This is why we think it's extremely cheap at these levels:
1. Enterprise Value (EV) on listing at $6.1M relative to other listed companies whose at the same stage and have market caps >$50M....
2. Not 1, but 6 projects that are all 100% owned by the company all in WA
3. Cobalt is "flying" and over the week made new highs at $57USD per tonne.... supply is limited and we feel that we will see >$100 per tonne over the next 12 months ....
4. Gold... remember that G88 has 4 advanced gold projects right next to KIN Mining... for those who haven't followed KIN, you should... just take a look at the chart
5. The capital structure is EXTREMELY tight ...
To put things into perspective, KIN has a market cap of over $58M and 72M shares on issue...
G88 on listing has a market cap of $10.6M (with $4.5M in cash) and only 53M shares on issue, of which nearly 30M of these shares are escrowed for 12-24 months !
6. Management have an EXCELLENT track record of taking project from early stage into production and then selling them off...
Rhod Grivas and Tim Putt are "workhorses" and we expect the news flow post losing to be very strong.So hold on to your seatbelt, it's go time ......
G88 Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
