How to Assess Valuations in the Metals & Mining Space

Benjamin Cox |


Benjamin speaks on the state of valuations in the metals and mining space. Currently, junior companies seem to be irrational about their project valuations, whereas majors and larger companies are liquidating decent assets at fair prices and seem to have a good grasp of what their projects are worth in today’s market. Benjamin recommends juniors look at their projects by starting at zero dollars and adding or subtracting value depending on real positives and negatives to give them a basis for evaluation. Next, when finding a buyer -- due to market conditions, this is harder and harder to do -- it is important to not wildly overvalue projects since potential partners will just move on. Benjamin cautions that, if there is not intelligent valuation, nothing is going to happen and those without it will be left behind.

 

DISCLOSURE: The views and opinions expressed in this article are those of the authors, and do not represent the views of equities.com. Readers should not consider statements made by the author as formal recommendations and should consult their financial advisor before making any investment decisions. To read our full disclosure, please go to: http://www.equities.com/disclaimer

Companies

Symbol Name Price Change % Volume
VEM.H:CX2 Vena Resources Inc. n/a n/a n/a n/a

Comments

Emerging Growth

MGX Minerals Inc.

MGX Minerals is a diversified Canadian mining company listed on the Canadian Securities Exchange. MGX is engaged in the acquisition and development of industrial mineral deposits in western Canada that…

Private Markets

Mesa-Marshall 2 Well Project

MESA Resources ("MESA") is sponsoring the development of the two well direct drilling project -- "Mesa-Marshall #1-2". MESA, founded in 1992, is engaged in the acquisition, exploration and development of…

Quants Inc

Quants, Inc, a California Corporation, develops, markets and operates financial technology platforms and alternative investment products offering sophisticated risk management since 2010. The Company has primarily sharpened its focus with…