If you choose to believe the company will deliver on their targets, and I can understand those that are skeptical here, then this is the potential:

I know a few here pointed out the potential pitfalls of the formula I used but I still believe it has some merits if people understand that this is a gross measure and many variables can throw this out the window.

However, pluging the most recent numbers from the new company presentation, we have:

Annual ounces: 540k

Price of gold: $1700

Cost per ounce: $800

Annual profit: 486M

Market cap at a PE of 10: 4.86B

FD share float: 599M

Potential share price: $8.11

P/E of $0.81

Looking at companies with similar PE we have:

Kinross: PE 0.58, MC 14.4B

Yamana Gold: PE 0.61, MC 11.7B

Allied Nevada: PE 0.58, MC 2.9B

IamGold: PE 0.76, MC 6.4B

Polymetal JSC: PE 0.78, MC 6.6B

With gold at $2000, I get a share price of $10.82 for anyone curious.

So for those with a long term view who believe in higher gold prices, our potential is still many multiples of where we are right now.

Glorieux