Can Highlander Silver (CSE: HSLV) Outperform Augusta Gold (TSX: G)?

Is it possible for Highlander Silver (CSE: HSLV) to outperform Augusta Gold (TSX: G)?

What we like about HSLV are the grades of the historical resource: it contains a measured & indicated 348,000 oz gold grading 22.4 g/t gold and 9,003,300 oz silver grading 578.1 g/t silver.

Compare this to Vizsla Silver (TSX: VZLA) currently worth $888.751 million their measured & indicated resource grades are 2.49 g/t gold and 307 g/t silver.

HSLV has 9x higher gold grades and 1.88x higher silver grades.

HSLV will definitely outperform VZLA, but we don't think any stock will outperform Augusta Gold (TSX: G).

Gold just hit $2,935 per oz which means Augusta Gold (TSX: G)'s Reward Gold Project after-tax Net Present Value (NPV) is now USD$224.805 million.

Augusta Gold (TSX: G)'s Bullfrog Gold Project has more than 3x larger gold resources. It's safe to say Bullfrog's after-tax Net Present Value (NPV) exceeds USD$224.805 million.

So, let's conservatively say US$450 million for the company minus US$30 million debt = US$420 million or CAD$595 million divided by 85,929,753 shares outstanding = $6.92 per share.

We assume AngloGold Ashanti (AU) will acquire Augusta Gold (TSX: G) at a discount and will pay $5 per share for the company in the upcoming weeks. Remember that AU will be developing all of the gold projects surrounding Augusta Gold (TSX: G) so to them with the synergies it is truly worth $10 per share.

If HSLV can discover more of this same high-grade material and expand its historical gold/silver resource it has the potential to one day be worth $1-$2 billion, but the Augusta Group spends years building their companies. It took 4 years for Augusta Gold (TSX: G) to be ready to be acquired for $5 per share.

Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. NIA's President has purchased 224,200 shares of G and intends to buy more shares. NIA's President has purchased 125,000 shares of HSLV and can buy or sell shares at any time. This message is meant for informational and educational purposes only and does not provide investment advice.