The Nullagine Gold Project is expected to deliver a net operating cash flow of between $81m and $105m depending on the hedged gold price. It was assumed at $800/$880 last time. With gold up and costs down what else does the market need. had a $50m market cap on Nullagine a few years ago and look at it now with the data now even further in favour.
Won't take long. This ia a very strong buy on project value alone. They could sell her for 2.5X the market cap atm IMO.
2006 parameters:
Tonnes Mined 4.5 Mt Grade Mined 2.38g/t. Au Ounces Produced 304,000oz Production Rate 70koz Au/pa Cash Cost A$513/oz Start up Capital Cost A$43 million Cash operating margin A$287/oz Cash operating margin (hedged) A$367/oz Net cash flow A$81M Net cash flow (hedged) A$105M IRR 27% IRR (hedged)42%
MOY Price at posting:
3.9¢ Sentiment: Buy Disclosure: Held
