short term target approx 15c, page-4

First 4 Last

Share
Profile

Follow
nihilism

11,400 Posts.

565

09/03/18

03:31

Post #: 31635631
Share

Originally posted by marco62 ↑

Current marketcap is $67M. Based on the previous two months they produce 6500 ounces/month. At a margin of $700/ounce, this is 57M revenue/year. They indicate in their resource estimate 1.2 million ounces or 15 years at the current mining rate.
For a small mine with a limited resource like this one a PE of 6 or 7 is fair. This represents a marketvalue of 342 million, so 5 times higher than the current marketcap. This allows for a shareprice of 40 cts!!

Everything above is set to a very conservative scenario. So short lifetime, no increase in production etc.

But we know that Blackham is seeking further opportunities; that they expect a higher resource volume from the current location; they aim at higher volumes/month. So when they closed off a period of negative surprises and are opening now the chapter of positive surprises we could be in for a great ride!!

And no, I do not expect 40 cts to appear tomorrow on the boards. Once you have disappointed your shareholders it will take a long time to restore confidence again. But with this outlook I am prepared to wait.

Expand

Conservative?

Profit margin at current prices is targeted at 450... market cap is closer to 100million at 8c also (undiluted) or 136 million fully diluted

BLK Price at posting: 8.1¢ Sentiment: Buy Disclosure: Held
7 Upvote

1 Great analysis

Reply

Top Stories

Listen: HotCopper Wire Podcast 016 – FY25 ended up not so bad... but Trump unpause is coming

AII

Inside the depths of Panasqueira: A legacy carved in rock

Trump chides Powell as Goldman call for calm. The RBA must be nervous

Building value through discovery in Mexico’s silver heartland

ASX Market Open: Jumpy Oz traders to sell before RBA 'cut' call, Trump's unpause | July 8

There are more pages in this discussion • 53 more messages in this thread...

First 4 Last

Add to My Watchlist

What is My Watchlist?

A personalised tool to help users track selected stocks. Delivering real-time notifications on price updates, announcements, and performance stats on each to help make informed investment decisions.

short term target approx 15c, page-4

Top Stories

Listen: HotCopper Wire Podcast 016 – FY25 ended up not so bad... but Trump unpause is coming

Inside the depths of Panasqueira: A legacy carved in rock

Trump chides Powell as Goldman call for calm. The RBA must be nervous

Building value through discovery in Mexico’s silver heartland

ASX Market Open: Jumpy Oz traders to sell before RBA 'cut' call, Trump's unpause | July 8

Featured News