$AGGFF : African Gold Group — Independent Economic Analysis

Long-Term Price Case$2,000/oz.
Flagship ProjectKobada
Mineral Resources1,200,000 ozs.
Shares Outstanding179,890,000
Market Cap$17,539,275
Average Annual Production78,000 ozs.
Recovery95.7%
LoM9.4 Years
Payable Product728,650 ozs.
True All-in Cost (TAIC) $1,397/oz.
Gross Revenue$1,457,300,000
Total Operating Cost($512,969,600)
EBITDA$944,330,400
Royalties (3%)($28,329,912)
Income Tax (30%)($283,299,120)
Total Capital Costs ($193,199,000)
Net Income$439,502,368
Net Profit Margin30%
Absolute Cost Structure (ACS)70%
MTQ Score0.4
True Value$2.44/sh.
Cash Flow Multiple11x
Annual Cash Flow$46,755,571
Future Market Cap$514,311,282
Future Market Cap Growth2832%
Target$2.86/sh.

Note: All Values in U.S. Dollars

3 Comments

Good tip Tom,
I checked into it and bought a tiny portion of this. Thanks!

Out of curiosity. Whats your take on Uranium market?
You dont seem to hold any uranium miners. Do you think we will see a dip or worse, or are you waiting for a confirmation before buying?
For me the uranium story seems to grow stronger and stronger and I am heavily in. I do think we are on the verge of the big bull, but Im interested in your take, I always like to hear possible bear cases.

You have some blog posts in the past, but I wonder if anything has changed in your perspective

Thanks for your work!

Hello!

Regarding uranium, we have a large stake in Deep Yellow Ltd. from an average cost of US $0.19, which serves as our primary exposure to the sector. We also have not insignificant secondary exposure to the sector.

Have a great afternoon,

Tom

I see. Why dont you have any uranium juniors like you have many precious metals juniors? I imagine you have quite a big portfolio, therefor it would be quite risky.
Thanks for the input though 🙂

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