Under valued, page-468

Pretium produces 311,000ozpa with AISC of ~A$1,000 (US$743).

It sold for A$3.7b.

RRL paid A$903m for 30% of Tropicana valuing it at A$3b. Tropicana produces 500,000ozpa with AISC of 1,179.

That means at the current OzPOG of A$2,458, Pretium earns A$1,458 per oz for A$453mpa; while Tropicana earns A$1,279 for A$640mpa. Similar LOMs.


Conclusions:

1. In relative terms, Tropicana is worth nearly A$5b and RRL's 30% is A$1.5b;

2. RRL did not pay too much for their 30% interest in Tropicana;

3. I agree Hiepn2, RRL looks cheap.


https://themarketherald.com.au/newcrest-mining-asxncm-to-buy-pretium-for-us2-8b-2021-11-09/