Hi Everyone,
We hope you are having a great Saturday because it's only about to get better. If you haven't seen the news from GOFF yet, here it is: Goff Corp. announced yesterday that it has reached an agreement to acquire additional gold projects in Marmato that could hold as much as 20M. ounces in potential gold!
This is equivalent to about $30 billion in potential gold reserve based on yesterday's gold price of USD 1581.30.
Here's an excerpt from the press release: "Previous drilling has been carried out on the Gavia Property (newly acquired leases by GOFF), and revealed gold grades averaging about 1 gram per ton. Historical data indicates the Gavia Property has gold potential of over 20 million ounces, based on mapping, soil samples and existing tunnels.'
Here's the link to the press release:
finance.yahoo.com/news/...bsidiary-golden-glory-205238059.html
This acquisition will definitely put GOFF on the map as an exploration mining company with tremendous upside and attract potential joint venture or mergers opportunities. Comes Monday ,GOFF will starts racing out of the gate and rapidly soar in value.
In our opinion, anything below $1 on GOFF is extremely undervalued. In fact, many are already speculating that GOFF could rise to $10 in the near future.
Here's why:
- With the newly acquired leases, GOFF now holds the potential to produce a large amount of gold per year. As suggested by Murphy Analytic, if the Company produces a mere 100,000 oz a year this would equates to over $150M. in revenue or $4 per share. But with $30B. in potential gold, they could produce a lot more and the valuation could be 2-3x higher then what Murphy Analytic initially projected.
- We mentioned in the past that Gran Colombia Gold (TSX:GCM) has a project in Marmato that is expected to produce about 400,000 oz of gold per year. The company is NOT producing yet on that property but at one point saw its share rise to over $2.20. Continental Gold Corp. (TSX:CNL), another Colombian competitor, also saw a surge of 340% from its initial IPO debut to $10. GOFF could experience a similar rise in our opinion as it just started trading.
- The Gavia property's potential does not even include the La Frontera's numbers, which we now expect to be revealed in the near term. If La Frontera's potential numbers are as big as the Gavia Properties, we could be in for a very intense uptrend for the coming months.
- Even when you compare GOFF's market cap to comparables in the space, GOFF is still the cheapest stock that offers the most upside potential:
B2Gold Corp (TSX:BTO) - Market cap. 1.23B.
Continental Gold Limited (TSX:CNL) - Market cap. 761M.
AngloGold Ashanti Ltd. (NYSE:AU) - Market cap. 910B.
Goff Corp. (OTCBB:GOFF) - Market cap. 167M.
- There are already multiple analysts covering GOFF. With this new acquisitions we wouldn't be surprise to see more coverage from analysts that will increase their price target to potentially $7-10. In fact, there are already speculations that GOFF could experience a similar run to 'lexg' another small-cap company that saw an epic run to $10 in the past and started at around 60 cents. 'lexg' didn't have close the potential that GOFF holds.
- But here's the cherry on top of all the positive news:
Shorts sellers that were shorts all last week on GOFF are about to get squeeze the living out of them as an influx of buyers is expected to come on Monday. Millions of shares from shorters will have to be purchased on the offer which could potentially send GOFF to over $2 in our opinion.
With yesterday's news, GOFF is about to experience a huge rally that could see its share cross over the dollar mark as early as Monday!
Your AwesomePennyStocks Editor.