Tue, Jul 12, 2011 - 12:37pm
What do you guys say about Metanor Resources? I've owned this b-tch for a while with losses but I must say it looks like a bargain ATM. Outstanding shares: $200 million
Mkt cap: $50 million
Cash: $19 million with $6 million more coming in from Sandstorm Gold in September as part of a gold stream purchase where they buy 20% of production from Bachelor Lake for $500/oz. They have two main properties: Barry and Bachelor Lake. The latter planned for bulk sampling this fall and commercial production early 2012. Planned annual production from Bachelor Lake is 60k oz of gold. A lot of spare mill capacity though. Metanor has mentioned extracting a lot of gold from Barry in the future with infrastructure in place and an open pit. That could get Metanor to 200k oz of gold/ year in 2-3 years. Not gonna go any further, just makes it boring;) But it sure looks undervalued to me with potential cash flow of nearly $50 million coming in per year in the short term. The Bachelor Lake shaft sinking should be completed any day and the drilling campaign is under way.
Edited by: LongGoldLongSilver on Nov 8, 2014 - 5:20am