Montage Gold – Overview (Côte d’Ivoire)
- Project: Kone + Gbongogo
- Land Package: 500,000 acres
- Resource: 5 million oz (4M oz reserves)
- Production Plan: Starts at 300,000 oz/year
- Capex: $900M (fully funded via $700M streaming deal + $125M debt)
- AISC: ~$1,000/oz
- First Pour: Q2 2027
- Stream Deal: 23% of production at low fixed prices – hurts profitability
2023 Drill Highlights (Gbongogo)
- 113.25m @ 2.30 g/t
- 48.00m @ 1.72 g/t
- 45.75m @ 1.90 g/t
- 20.50m @ 10.95 g/t
- 17.00m @ 8.56 g/t
Valuation at $4,000 Gold
Let’s estimate using 300,000 oz/year:
- Streamed Production (23%): 69,000 oz (minimal profit)
- Unstreamed Production (77%): 231,000 oz
- FCF per oz: $4,000 - $1,000 = $3,000
- Total FCF: 231,000 × $3,000 = $693M/year
- Valuation (10x FCF): $6.93 billion
Stock Price Potential
- If FCF is $693M and we apply a 10x multiple, the valuation = $6.93B
- If they have ~200M shares (estimate):
- Stock Price = $6.93B ÷ 200M = $34.65 per share
Conclusion At $4,000 gold, Montage Gold could be worth $30–35/share, even with the streaming deal. Strong team, solid project, and multi-mine potential. Long wait until production, but strong upside.
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