$THM : Tower Hill Mines — Independent Economic Analysis

Long-Term Price Cases$1,700 oz. Au
Shares Outstanding187,111,857
Market Cap99,169,284
ProjectLivengood Gold Project
Reserves9M ozs. Au
Average Annual Production294,100 ozs.
Payable Gold6,763,900 ozs.
LoM23 Years
True All-in Costs (TAIC)$1,412/oz.
Gross Revenue$11,498,630,000
Total Operating Costs ($4,586,129,395)
Operating Profit (EBITDA)$6,567,541,705
Income Taxes($1,773,236,260)
Total Capital Costs($2,847,000,000)
Net Income$1,947,305,445
Net Profit Margin17%
Absolute Cost Structure (ACS)83%
MTQ Score (Higher is Better)0.2
True Value$10.41/sh.
Cash Flow Multiple5x
Average Net Annual Cash Flow$84,700,000
Future Market Cap$423,504,000
Future Market Cap Growth327%

Notes: All Values in U.S. Dollars

Net Profit Margin is slim and Absolute Cost Structure is bad but scale works nonetheless for Tower Hill Mines, a fact that hasn’t gone unnoticed by the likes of John Paulson and Electrum. We became shareholders on 31 December 2019.

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