(1) Owners purchased the project for $5.5m and then spent $15.3m. Assume a full raise of $15m + $5m = $20m, making $41m (spent + cash). Listing at $68m, this gives the owners a nice windfall $27m return on their investment (over 100% return). They took the risk though. (2) Assuming the total raise is $20m the enterprise value will be around $48m, so with a JORG of 674oz we get $71 per ounce. That's on the low side, but there are cheaper near-term producers that are already listed (e.g., BDC @ $43/oz, HRZ @ $63/oz, KZR @ $56/oz). (3) JORG grade at 2.4 g/t Au, that gets a tick. (4) AISC averaging $1,203/oz. Ok while the POG is high. It's not a particularly low figure.
At this stage I can't see a compelling reason to invest. Interested to hear other opinions.
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