Multi-million Ounce Potential

I'm fortunate enough to have entered Benz on the TSX earlier this year after scouring the boards looking for the next big goldie after following the acquisitions by NST, EVN, SBM etc of North American assets. Seemed like an obvious place to look if the established miners are going shopping there.

The thing that stood out to me initially with Benz was that it had an existing high-grade resource in a very well endowed region of Canada. Good start. But... it was horribly undervalued. I asked why and I learned that the former team just didn't quite understand what they were sitting on at Eastmain or how to exploit it. For all that historical mining, all that gold from surface, all that potential, it apparently never occurred to them to conduct Drill Hole Electromagnetic (DHEM) surveys to better define drill targets to expand the resource in a strategic, systematic way. DHEM was a gamechanger for companies like BGL that happen to operate in very similar geological settings to Eastmain. I suspect it will also hold the secrets to unlocking the potential for Benz.

The IPO will value Benz at around $50m with ~$18m cash, resulting in an EV of only $32m. That $18m is going to buy a LOT of surveying, drilling and development work. New holders will take great comfort knowing that there will be no CR for quite some time so it's just going to be set and forget.

For those that missed out on larger allocations in the IPO, there's still opportunity to buy on the TSX before the ASX rerate forces TSX up too. I personally think we'll see >$100m in a few short weeks after the IPO so I've made sure I'm set before the madness kicks off here.


Below is a link to a tweet I made about the DHEM at Eastmain and why I think this is BGL V2.

Best of luck to all holders.