International Tower Hill Mines: The Era Of Big Projects Is Over
- International Tower Hill Mines' Livengood Project in Alaska is big as it contains more than 20 million ounces of gold.
- However, big isn't always good, and the NPV is very negative at the current gold price.
- Promotors of the company are spinning this as a positive thing, as the company provides a leverage on the gold price and you buy gold for $3/oz in the ground.
- However, I don't agree with this view, as the company is burning cash to the tune of $10M+ per year, so waiting for a higher gold price is expensive.