EURO SUN MINING – MY GOLD STOCK OF THE DECADE: $CPNFF
Euro Sun Mining Inc. (TSE: ESM, OTCPK:CPNFF) is my Gold Stock of the Decade. This company has EVERYTHING I want to see:
SIZE–10 million ounces of gold equivalent, in Europe,permitted for production in an area where large scale mining has been done for over 100 years.
Only 71 million shares out and cashed up with a recent financing
Management bought this financing (and their average cost is still close to $1/share–higher than today’s price!–NO cheap stock on this company!)
CEO Scott Moore and his team have an incredible track record in adding value for their shareholders–their last four projects are now in production
DIRT cheap valuation vs. peers
A “Popcorn” market for gold stocks–they’re popping all over right now.
This company has leverage both in the ground and in the share structure, and a management team that can–and has–delivered the goods.
chance of making 20x my money–$1,000,000 for me if I’m right! For me, it’s The Gold Stock of the Decade.
When I bought the stock on the 30-cent financing, Euro Sun Mining Inc. (TSE: ESM, OTCPK:CPNFF) was valued at just $2.50 per ounce of gold equivalent (some copper) in the ground. At 60 cents it still leaves a potential 22-bagger on the table for every investor today; 2,200%!! This is not my opinion, it’s from the hard numbers in the table below:
Acquirer Seller/Asset US$ Per Ounce
Coeur Mining Northern Empire $115
Orion Dalradian $50
Sandstorm Gold Mariana Resources $226
Agnico Eagle Mines Santa Gertrudis $86
Eldorado Integra $128
B2Gold Papilon $108
Goldmining Inc Bellhaven $11
McEwen Mining Lexam VG Gold $36
High Valuation $226
Low Valuation $11
Median Valuation $97
Average Valuation $95
At 80 cents a share, Euro Sun Mining Inc. (TSE: ESM,OTCPK:CPNFF) is still a potential 17-bagger–1672% to be exact!
Great Location, Permitted, Highly Economic
Investors have abandoned this sector and nobody is looking at what these companies are actually doing.
Euro Sun Mining owns 100% percent of the 10 million ounce Rovina Valley Project in west-central Romania — a developed and secure nation that is a member of the EU and NATO. And it is PERMITTED for production.
This is a perfect place to operate a gold mine. This is an established and prolific mining region with THREE large gold mines located within 40 kilometers (25 miles) of each other. There’s over 40 million ounces of gold in this Tethyan Gold Belt–this is like Nevada, or Red Lake Ontario, or Johannesburg South Africa. But nobody knows about it.
Rovina is officially #14 in the world for gold deposits. Though I don’t want to be a bad guy, I will say that 7 or 8 of those ahead of Rovina will almost certainly never see production. The last four assets that Euro Sun Mining Inc. (TSE: ESM, OTCPK:CPNFF) CEO Scott Moore has owned are all in production.
The local labor force is skilled and hungry to work and there is excellent road and rail infrastructure already in place. The mining permit arrived last November, when the Market was collapsing and nobody was paying attention. This is HUGE!
Another huge advantage…. the cost of power in Romania is DIRT cheap at just $0.07 per kilowatt hour.
The geology here is simple and everything lines up for this to be a very large, very low-cost project. It’s got huge size, low cost and one of the best teams–It’s the Gold Stock of the Decade.
The independent, third-party engineers who completed Euro Sun’s February 2019 Preliminary Economic Assessment (PEA) of Rovina Valley peg the projects operating costs at just $752 per ounce.
That puts Rovina Valley’s operating costs in the lowest 25 percent of the industry.
My only concern? Euro Sun Mining Inc. (TSE: ESM,OTCPK:CPNFF) shareholders get robbed of this project with a near-term takeover by a larger player for just a triple or quadruple on my money. Shareholders deserve MUCH more.
With gold prices at $1,300 per ounce a $752 ounce operating cost makes for some fat margins.
And their capex is DIRT cheap for a mine this size–just over $300 million plus a contingency.
Developing this mine will be so simple–nobody has to move, there’s no using cyanide and no wet tailings. (Dry stack tailings are rapidly becoming the new standard for mining, and CEO Scott Moore’s team is embracing that.)
Rovina has:
low capital costs,
low operating costs,
skilled local labor,
PERMITS,
full social license
The combination of low operating cost and low cost of development make for a powerful economic combination……..and a no-brainer takeout target for every larger operator in the industry.
Now, I would buy the stock just for all that, but when I tell you what CEO Scott Moore has done in the very recent past, you will understand why this is my Gold Stock of the Decade. I think I can make $1 million here.
AI
