As measured in mining time, Virginia Mines Inc. (OTCPK:VGMNF) is close to receiving its first revenue from royalties, as the Éléonore project in Quebec, with which it has a royalty agreement in place with Goldcorp (NYSE:GG), is poised to begin production sometime in the latter part of 2014.
There is no doubt as production approaches the share price of the company will jump because the discounted value of future cash flow tends to rise as a company gets closer to generating revenue for the first time.
Based on current production goals from Goldcorp of 600,000 ounces a year, Éléonore will provide Virginia Mines with 13,200 ounces of gold annually.
With production at Éléonore approaching and the...
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