My post was just taking the mickey out of stanley1980 who threw a valuation up out of thin air. Not to be taken seriously. @speculator101 has given some good comment to help you. At this stage, I have not included the McPhillamy's capital expenditure in my RRL valuation (forget the $3027M, that was nonsense). They have plenty of cash ($220M at end of year) and no debt at present and also pay a good dividend (for now at least). They are working at increasing their reserves and McPhillamy's is not the only development they are doing. With 3.7Moz of reserves (as at 14/12/20) they are not desperate and with an overall forward AISC of $1265/oz they have decent cashflow. Provided they can get all the McPhillamy permits in place, I think they are good value and I prefer them to SBM at present, whose output is constrained for the next 3 years and has a higher overall AISC.
RRL Price at posting:
$2.99 Sentiment: None Disclosure: Held
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