Replies to post #31629 on Value Microcaps Junior Miners

[checkmate28]

Big opps on ICG.v Just went over my math. Checkmate said:

Key take In the first full year of production, the company will generate its market cap (~$52 million) in pre-tax cash flows on 111,100 ounces of gold, assuming US$ 1,175 per ounce gold.

Based on Life of mine ("LOM") cash cost of C$551 per ounce and all-in sustaining costs of C$731 per ounce, $1500 gold would add another another $95 million CF if I use a cash cost of $640. That figure allows for some fixed cost savings off the AISC

For some reason I did a calculation based on higher production numbers and threw that figure into my higher net cash flow calc.

Lets try again on the future value calcs.

starting from the PEA with $1175 gold with $52M yearly CF, adding $325/oz to the bottom line, will add $36million in CF.

$52M + $36M gives $88M yearly CF... WITH A 10X CF multiplier, we could see a market cap of $880,000 or a 17 bagger based from todays marlet cap.
They still need financing, 18mths time and POG to cooperate but I like the chances
Checkmate

[dr_airtime]

ICG.V...

...saw that but have been having an insance work week. First question to ask when you see a PEA like that is who is the consultant? In this case InnovExplo out of the u/g gold mining capital of Canada Val D'or looks very reputable working for Brigus, Goldcorp, Osisko, IamGold, etc.

http://innovexplo.com/en/achievements

It's still a PEA though.