$EXS...UNDERVALUED? YA THINK?
Ah...the summer doldrums. With GOLD at recent lows, its nice to see EXS/EXSFF/E1H1 holding the prevailing .065-.07 level. That represents a Market Capitalization of just over $10million CDN. Let’s look at the company’s ‘Cap’ for a minute. The Timmins Porcupine West GOLD deposit alone, with 1,000,000ounces at say $100/oz is at least $100million. The Chester Copper deposit in New Brunswick is easily worth at least $200million, presuming I got all the numbers right? The East Bay, PG-101, Kidd & Ogden property blocks have got to have a combined value in the tens of millions to the right buyers? Other corporate assets are all properties of merit that I’ll disregard for the purpose of my little exercise. Dealing only in the assets mentioned, our Market Cap should be in the neighbourhood of $300-350million! From my perspective that translates to a relative $1.95-2.10 stock price. I can hardly wait for the reaction I’ll get to that assessment from my favorite professional bashers! I have listened to, and read literally dozens of interviews, and articles, on the future value of GOLD in USD. Experts with tremendous credentials agree, almost without exception, that GOLD will have a run up to at least USD$1,400/oz. Some, like Rob McEwen, founder of Goldcorp, has stated publicly he believes we’ll see that, before the end of 2017. His company McEwen Mining is on an expansion plan that includes acquisitions in the Timmins Porcupine Camp. Again, reiterating my recent question, ‘Why in the world would Goldcorp be spending $2billion on a 50,000ton/day mill, and very quietly acquiring potential production in the Timmins Porcupine Camp?’ Globally, GOLD supply has been on a diminishing trend against a growing demand. All the Big Boys know this, and are preparing for a highly anticipated GOLD Bull Run Up, gearing up facilities, and methodically acquiring properties. Given Explor’s assets, Dupont’s recent Toronto trips, and Chesire grin in the video interview released last week, my gut tells me we may be on the cusp of a major announcement, which could have a profound impact on the equity. His absolute refusal to speak to the trips speaks volumes to me. ‘Where there’s smoke, there must be fire.’
