Mining Investing: Valuing a Company | Avoid Glasses ...
This is because mining stocks also offer leverage to commodity prices. Paul Van Eaden again: ".Take a gold mining company as an example. Assume we have a company that mines gold for a total cost of 400 an ounce, and let us pretend the gold price is 500 an ounce. The net present value of the mine would be calculated based on the 100 margin.