dirkdigger
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This is my first post in this forum so hello to all. I have recently bought shares in CMC Metals (CMB.V). With a rising gold price this company might have some upside potential imo. The current market cap of below 4 million Candollar seems rather low to me.
Here are some information based on older reports https://docs.google.com/viewerng/vi...n.com/pdfcb19a86c7ff9683353ef2642ec1b690f.pdf
- “CMC and PBI plan to produce ~20,000 oz gold per year and thus generating sales of ~$24 million per year (with gold at $1,200/oz). Production costs for the initial 84,000 oz gold are estimated at $700-$800/oz.” With todays gold price of around $1300 and costs of $800/oz that would result for the 50% share of CMC $5 million annual profit.
- “plus the milling costs of around $150/t processed by the Bishop Mill (at 2,000 t/month = $300,000/month or $3.6 million/year).”
- “The replacement value of the mill facilities is estimated at $6 million.”
- Silver Hart (drilling results expected soon): “Extrapolating the numbers a bit from what CMB already has blocked out, and you could easily be staring at a 55-million oz. deposit.” www.preciousmetalsreview.com/PMRcmbbond.pdf
That would equal around $900 million with todays price of silver. The already blocked out initial 9 million ounces of silver equal $150 million.
- The major insider also continues to buy shares.
https://www.canadianinsider.com/company?menu_tickersearch=CMB | CMC Metals
Past week I received the following update from the company.
- The Mill can be operational in a few weeks after posting the Bond
- Approached the government on terms of bond and waiting for their review.
- CMC is essentially in small scale production now, the next bulk sample will be for 1500 tons.
- Silver Hart drill results expected in 3 weeks
- We are working on an IR program to launch in the next week or so
Please note that the company has a track record of delays. Therefore timing is everything. However, I like my chances below 10 cents in particular if gold moves above $1.300.
Any thoughts?
Here are some information based on older reports https://docs.google.com/viewerng/vi...n.com/pdfcb19a86c7ff9683353ef2642ec1b690f.pdf
- “CMC and PBI plan to produce ~20,000 oz gold per year and thus generating sales of ~$24 million per year (with gold at $1,200/oz). Production costs for the initial 84,000 oz gold are estimated at $700-$800/oz.” With todays gold price of around $1300 and costs of $800/oz that would result for the 50% share of CMC $5 million annual profit.
- “plus the milling costs of around $150/t processed by the Bishop Mill (at 2,000 t/month = $300,000/month or $3.6 million/year).”
- “The replacement value of the mill facilities is estimated at $6 million.”
- Silver Hart (drilling results expected soon): “Extrapolating the numbers a bit from what CMB already has blocked out, and you could easily be staring at a 55-million oz. deposit.” www.preciousmetalsreview.com/PMRcmbbond.pdf
That would equal around $900 million with todays price of silver. The already blocked out initial 9 million ounces of silver equal $150 million.
- The major insider also continues to buy shares.
https://www.canadianinsider.com/company?menu_tickersearch=CMB | CMC Metals
Past week I received the following update from the company.
- The Mill can be operational in a few weeks after posting the Bond
- Approached the government on terms of bond and waiting for their review.
- CMC is essentially in small scale production now, the next bulk sample will be for 1500 tons.
- Silver Hart drill results expected in 3 weeks
- We are working on an IR program to launch in the next week or so
Please note that the company has a track record of delays. Therefore timing is everything. However, I like my chances below 10 cents in particular if gold moves above $1.300.
Any thoughts?
