Have been in KAV 3 years and this is the first tangible piece of shareholder value so great news. Well written article.
What is the source of "2.6m oz"? When the Nara option was announced the estimate was 500koz, more recently they talked about potentially 1m oz. KAV are conducting IP & drilling imminent. So intrigued to understand more about 2.6m because if it turned out to be true then KAV could easily be worth +20p/share
Even the lower value of 0.5Moz is substantial. Over a 7 year LoM that would put KAV equal with CMCL (Caledonia) for production volume (77Koz/year). CMCL has a £144m marcap implying a 10p Kavango share price (given today's £10m marcap and 144/10 = 14.4X x 0.7p). And you probably need to consider that CMCL has dropped 20% YTD on higher costs!
Have been in KAV 3 years and this is the first tangible piece of shareholder value so great news. Well written article.
What is the source of "2.6m oz"? When the Nara option was announced the estimate was 500koz, more recently they talked about potentially 1m oz. KAV are conducting IP & drilling imminent. So intrigued to understand more about 2.6m because if it turned out to be true then KAV could easily be worth +20p/share
Hi James,
It's from their Q4 23 presentation, page 16 - I've updated the article to make that clearer.
https://www.kavangoresources.com/media-library/presentations/download?path=2023%2BQ4%2BCorporate%2BPresentation.pdf
Even the lower value of 0.5Moz is substantial. Over a 7 year LoM that would put KAV equal with CMCL (Caledonia) for production volume (77Koz/year). CMCL has a £144m marcap implying a 10p Kavango share price (given today's £10m marcap and 144/10 = 14.4X x 0.7p). And you probably need to consider that CMCL has dropped 20% YTD on higher costs!