Cobus Loots, CEO of Pan African Resources, on delivering sector-leading returns for shareholders. Watch the video here.
The fact that Newmont will participate ( and was part of the deal) in future placements, means thy not only back Anza through to production, but back Uruguay back to production.
They back OMI full stop
In all my years watching deals go through AIM, this is in the top 3
Company Maker and makes the current valuation look hilarious, especially looking at peers
Let the market make the next leg up on rerate, IMO traders are ready to push this up to where it should be
At least the 18-22p range
3 huge main differences at this stage
1) SOLG didnt have a backer at this stage for OMI...OMI has spectacular Newmont deal
2) SOLG had only taken surface and shallow samples....OMI has drilled many holes already....they blow SOLGs findings completely out of the water!
3) Both regions were politically and economically dodgy for miners and their licences when SOLG went into South America....these conditions have radically changed across the region now
2g per ton and you are in the money
look at the grades up to now!
20, 30, 50....100g
i recall when SOLG came out with results (not anywhere as good as OMI) and the sp went from 6p to 84p in a couple of days
But SOLG didnt have this backing at the start, OMI now has Newmont....this is seriously advantageous...and seriously valuable to shareholders
Iv got a stop on at 50p
Our previous (FY17 to FY23) valuation moves forward a year and reduces from our last valuation (published in
January) by 6p to £0.29 (C$0.43) . This uses a 10% discount rate, our in house gold price deck and a revised cable rate of 1.34(vs 1.29previously).
Before Newmont arrived!
Before the major drilling and outstanding finds!
However, a key potential staging point for the company lies in its exploration of the Anz� project in Colombia. The region�s geology is well known to be highly prospective, with a number of active exploration programmes and increasing investment in the area by mining juniors
.
This is likely to draw the attention of major mining companies to these viable deposits in a politically stabilising region. The recent investment by Newmont of US$109m at a 46% premium to its share price (and now holding 19.9%) in Continental Gold with its 3.7Moz at 8.4g/t Au reserve Buritic� gold mine, further up the Mid-Cauca belt from Anz�, is an interesting example as it exhibits similar metallurgical and grade characteristics to historical drill
data at Anz�
.
The market priced OMI at £22m 10 months ago
Before the fantastic discoveries
Before the world class deal from Newmont
you would expect the market to at least double this valuation now
£50m/147m shares
34 PENCE
and thats before the much bigger story unfolds
anything under 20p is cheap for whats going on
under 10p is hilarious
BUY