With Orogen Royalties (TSXV: OGN) closing yesterday at $1.32 per share with a market cap of $264.957 million and net cash of $17.71 million for an enterprise value of $247.247 million and with 75% of its enterprise value or $185.44 million (USD$136 million) for its 1% NSR royalty in the Expanded Silicon+Merlin Project in the Beatty Gold District adjacent to Augusta Gold (TSX: G), OGN's 1% royalty is implying a market cap for the Expanded Silicon+Merlin Project of approximately 20X that amount or USD$2.72 billion. The Expanded Silicon+Merlin Project contains resources of 13.26 million ounces of gold. This means Expanded Silicon+Merlin is being valued at $205 per oz.
Augusta Gold (TSX: G) owns 1.92 million ounces of gold resources adjacent to Expanded Silicon+Merlin. A valuation of $205 per ounce will value G at USD$393.6 million or CAD$536.7 million.
This values Augusta Gold (TSX: G) at $6.24 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 in the open market and intends to buy more shares. This message is meant for informational and educational purposes only and does not provide investment advice.
Preparing Americans for Hyperinflation
