I wonder if the market isn't punishing IAG for not deploying some of its cash during the gold dip to bolt on some new assets to replace the ozs they lost in the Tarkwa/Damang JV.
I was screaming for months that IAG should bolt on a 200k oz mine while they could get one cheaply.
What would tickle me is if IAG made a bid for a low-grade high tonnage situation. A lot of those types of E&P companies are trading at silly low per oz valuations, like $10,20,30 oz. Exeter with 45M gold-eq ozs has a sub $400M mktcap. Lots of multimillion oz ore bodies are selling for less than $50/oz.
Sandspring has a $1.8B NAV after tax at $2000 gold. Trading at about 0.1 NAV. That's in Guyana. Interesting that Guyana Goldfields GUY.TO has been the "top-shelf" name in that country for years, and now it appears Sandspring's mine looks more robust for less than half Guyana's price even after GUY being punished the other day...
I think the correct play for IAG would have been to buy Detour for $42 in stock and cash when it was IAG was in the 20s. That would have increased their production profile by about 70-80% and more than doubled P&P while only issuing maybe 175-200M shares. And it would have made IAG more "Canada-centric" in its gold reserves and this would increase valuation.
But mining mgmt and BODs don't consult with PM_Guru. lol