$LRTNF : Pure Gold Mining — Updated Independent Economic Analysis

Long-Term Price Case$1,700/oz.
Flagship ProjectMadsen
Ownership100%
Mineral Resources (Indicated)2,063,000 ozs.
Mineral Reserves1,013,000 ozs.
Fully-Diluted Shares297,000,000
Fully-Diluted Market Cap$121,770,000
Average Annual Production80,833 ozs.
Recovery95.8%
Payable Product970,000 ozs.
LoM12 years
True All-in Cost (TAIC)$1,315/oz.
Gross Revenue$1,649,000,000
Total Direct Operating Costs($586,850,000)
Refining & Transport($1,940,000)
Operating Profit$1,060,210,000
Ontario Mineral Tax (10%)($106,021,000)
Federal Income Tax (15%)($159,031,500)
Total Capital Costs ($422,125,920)
Net Income$373,031,580
Net Profit Margin23%
Absolute Cost Structure (ACS)77%
True Value$1.26/sh.
Cash Flow Multiple10x
Annual Cash Flow$31,120,705
Future Market Cap$311,207,050
Future Market Cap Growth156%
Target$1.05/sh.

Notes: All Values in U.S. Dollars

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