ONYX Gained 122.34% this Week and CTGO Owns 5M Shares
The world's #1 most undervalued producing gold miner with the largest upside potential for the remainder of 2025 is Contango ORE (CTGO).
CTGO owns 5 million shares of Onyx Gold (TSXV: ONYX), which gained by 27.44% today after a gain of 36.67% yesterday. ONYX gained by 122.34% this week to $2.09 per share and CTGO's 5 million ONYX shares are now worth CA$10.45 million or US$7.64 million.
ONYX has a market cap at today's close of US$102.20 million and this is for their secondary gold assets leftover from CTGO acquiring their #1 most valuable asset Johnson Tract.
If ONYX's secondary gold assets are worth US$102.20 million, CTGO's Johnson Tract is easily worth US$200 million.
CTGO has only 12,114,278 shares outstanding for a market cap at $20.01 per share of US$242.407 million. CTGO's 30% owned Manh Choh is one of the world's highest grade producing open pit gold mines with proven & probable reserves grading 7.5 g/t gold! We can't name any open pit gold mines with higher gold grades than Manh Choh, but we assume there must be at least one (definitely not in a top jurisdiction like Alaska).
When CTGO projected this week that full year 2025 cash distributions from their Manh Choh joint venture with Kinross Gold (KGC) will reach US$95 million, they were estimating an average gold price of $3,100 per oz for the remainder of 2025. Despite gold dipping today it is well above $3,100 per oz so CTGO will easily make US$95 million from Manh Choh this year and probably a lot more. A conservative multiple of only 5x $95 million = $475 million + $200 million valuation for Johnson Tract + ONYX shares worth $7.64 million = fair value for CTGO of $682.64 million or $56.35 per share.
CTGO is currently up only 55.72% since NIA's May 14th suggestion at $12.85 per share and we intend to add it to our largest percentage gainers of all-time list before year-end. It has a 100% chance of rising big from today's close of $20.01 per share!
Past performance is not an indicator of future returns. NIA is not an investment advisor and does not provide investment advice. Always do your own research and make your own investment decisions. NIA has received compensation from CTGO of US$30,000 cash for a three-month marketing contract. This message is meant for informational and educational purposes only and does not provide investment advice.
