“Grassy Mountain today is a high-grade underground mine. It will be an underground mine. It is 7.25 gram per ton. We have over 363,000 ounces that we will be mining. It is very low cost. It is high-grade and good recovery. It is a very simple profitable mine that not only has exceptional economics at today’s gold prices, but could withstand much lower prices.” States John Seaberg, Executive Chairman of Paramount Gold Nevada Corp. (NYSE American: PZG), in an interview with InvestorIntel Corp. CEO Tracy Weslosky.
Tracy Weslosky: John if you ask me you are one of the most undervalued gold plays in the entire gold market. Can you introduce the InvestorIntel audience to Paramount Gold Nevada and why you are so competitive?
John Seaberg: Absolutely. Paramount Gold Nevada, we are a U.S. focused, U.S. listed development gold company. We were the product of a spinout, a transaction that occurred in 2015 between Paramount Gold and Silver and Coeur Mining. We were spun out with one asset in Nevada, the Sleeper Mine. Subsequent to that we acquired Calico Resources and got 100% interest in the Grassy Mountain Gold Mine in eastern Oregon. Today we have two development stage assets. We are U.S. listed only on the New York Stock Exchange American.
Tracy Weslosky: Grassy Mountain Project; I am going to have you step back and go back at it for a good short summary for those of us out there that are new to this particular project.
John Seaberg: Sure. Grassy Mountain is not a new deposit. It has never been mined, but it has been around for a couple of decades. It has gone through several different hands, different mining companies. It has had a lot of work done on it, but no one has ever embarked on the process or the journey to get it permitted. As far as I know we are the only mining company that has begun this journey of permitting a chemical mine in Oregon. Grassy Mountain today is a high-grade underground mine. It will be an underground mine. It is 7.25 gram per ton. We have over 363,000 ounces that we will be mining. It is very low cost. It is high-grade and good recovery. It is a very simple profitable mine that not only has exceptional economics at today’s gold prices, but could withstand much lower prices. We are excited to be developing this mine in eastern Oregon, which is in dire need of the economic impact of mining.
Tracy Weslosky: The nameless broker that works with InvestorIntel sent me a buy recommendation from Roth Capital at four times your current value at $4.00. Can you tell me what the highlights were with that particular analyst report?
John Seaberg: Sure. Roth has a buy recommendation with a $4.00 target price. I think what sparked analysts’ interest in the story is its simplicity. It is not a complicated mine, the Grassy Mountain. We also have the Sleeper Deposit in Nevada that I think is getting very little value because it is a lower grade deposit and we are not really focused on it. We are focused on Grassy, but it is a well-defined strategy to unlock value for our shareholders that I think the analysts appreciate it. Plus an exceptional management team and board of directors that have a lot of experience at developing these projects and bringing them into production.
Tracy Weslosky: I know that people often feel uncomfortable when asked about their own background especially when they have had such a formidable background like you have. Would you mind telling our InvestorIntel audience a little bit more about your background?…to access the complete interview, click here