Monarch Mining Corporation was spun out of Monarch Gold (MQR) in January 2021. MQR sold its Wasamac and Camflo assets to Yamana for C$200m but retains a suite of potentially high-return projects as Monarch Mining. Its portfolio is located in the well-established and highly prospective Abitibi gold belt. Beaufor should start production in FY22, with minimal capex outlay. Once in production, its cash flows, combined with existing cash (Monarch Mining is debt free) will be invested in Croinor, expected to start up in FY24. Our valuation is C$0.99/share, comprising C$0.69 for Beaufor and Croinor and C$0.30/share for second-tier assets McKenzie Break and Swanson. With financing, Croinor could be brought forward, accelerating cash flows. Meanwhile, ongoing exploration, given the highly prospective locations, is likely to add to available resources and potentially to mine-life extensions, offering considerable valuation upside.Den vollständigen Artikel lesen ...
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