Member Info for FatherTedFeck

Bwahaha, he reads The Economist! Anyhow, enough attention to this irrritant-troll. Solgold is interesting today.

Big spreads when you're trading close to absolute zero...it always goes up or down at least 12.5%, but today a motivated seller hit the bid one pip lower.

Was this post intentionally wrong in order to drive engagement?

The next solgold? Christ, I wouldn't wish that on anyone.

...

What did bhp buy?

Yeah they're a decent punt. Great headline numbers, but continuity of the mineralisation is a big question given the min. style. Which won't stop a price pop on further nice holes.

Https://youtu.be/uFHAd49g-Nk?si=4oS0ryGfAJOMzf0q

At the 30 minute mark

We have 30-something million ounces.

"normal" CO2 levels, lol

I dunno if the Capex would have increased much, the latest study is only ~8 months old, after the vast majority of the covid-response-induced inflation. Also the Capex required by a potential purchaser was more or less cut in half by the Franco deal.

True, I'm not counting the Franco deal. So yes, less.

But also, given that the streaming money comes up front, I think it is also a reasonable exercise to redo the whole Npv calcs with Capex required being only one billion, which changes/improves the outcomes greatly. But that's beyond my know-how.

Hi Pbow, yes those first numbers were done on the toilet. With pen &paper I got $5.2 billion. Using the sensitivity table from 16 Feb news release, we see each +10% to the copper price being a $400m NPV boost, and each +10% to the gold price counting for plus $200 m. (Except for the first one, which is worth $300m, don ask me ).

So any how with today's cu price being exactly 20% higher than the $3.85 used, and with the gold price being 53.4% higher, I got an $800m bump from copper and an $1160 bump from gold

Gold was a little higher this morning, so let's round all that up to $5.2 billion US.

Off the top of my head they've got Cadia and Red Chris in production, but I dunno their pipeline.

At the risk of entering into pointless debate, I would point out that there is no one valuation metric to rule them , although you bring up a very good one. Another would be the same idea but with $/Oz gold, another would be % of NPV.

After tax NPV8 is roughly $5.5 billion US. Market cap is about 8% of that.

The overall "renewables" industry is controlled by China far more than oil is controlled by opec.

The published resource and pea are hopelessly out of date. Since then they have drilled incredibly. Remember that old table showing cascabel drill holes compared to other great porphyries? Filo have drilled, I dunno, ten holes better than our best. And mostly huge step-outs.

BHP might be satisfied with their purchase of Filo, which is a bigger better cascabel anyhow. They don't have to buy everything out there. But that wouldn't stop Rio or Gina from buying solg. Or a dozen others. Money's money.

The Filo takeover valued the project at ~US$3.3 billion.