the big payday is just a question of time and patience.
all we need is a buyer. It's a bulldozer-ready gold mining projects; it's fully permitted, de-risked and ready to go with a substantial resource confirmed. Sooner or later, something will happen: A third party will move in and snap up a superb asset.
fully-permitted flagship project is expected to produce approximately 200,000 oz/yr at AISC of $638/oz. . .we are increasing our target price to C$1.00 (from C$0.95), which is based on a target P/NAV multiple of 1.00x. The shares currently trade at only 0.60x NAV, indicating significant upside on a re-rating or a takeout.
Precious metals traders and investors should be on guard for more weakness in the days and weeks ahead.
We certainly have been early with this call but Friday’s bearish reversal could be the catalyst that starts the decline. Metals and miners would need to close above today’s open to invalidate this analysis. Today’s reversal in the metals was not a surprise given recent relative weakness in the miners.
For precious metals bulls and speculators, continue to be patient and wait for more weakness. For this year we want to buy weakness, not chase strength. We continue to look for high quality juniors that we can buy on weakness and hold into 2018.