Barton Gold

Barton Gold is an Australian gold developer with 100% ownership of the only regional gold mill in the renowned central Gawler Craton of South Australia. Currently, it has JORC mineral resources of c 1.6Moz Au and is targeting future gold production of c 150,000oz annually.

We value Barton’s mill at A$0.46/share ‘as new’ and A$0.23/share ‘as is’. Hence, this asset alone almost covers Barton’s share price. Separately, we estimate Tunkillia’s pre-tax NPV (7.5%) of A$512m at c A$322.6m post-tax, or A$1.48/share. Based on EV/NPV multiples and adjusting for development stage etc, this translates into a further value of A$0.42–0.50/share, which is similar to the A$0.51/share NPV (10%) of dividends if the company were to raise equity to develop the project at its current share price. Therefore, we value Barton at A$0.65-0.96/share today. If it is able to extend its operations’ lives open-endedly via exploration (eg recently at Tarcoola), we calculate a possible valuation in excess of A$2.50/share.

Price Performance
%	1M	3M	12M
Actual	12.2	14.6	14.6
Relative	11.9	9.6	(2.9)
52 week high/low	A$0.3/A$0.2

12M

Actual

12.2

14.6

Relative

11.9

9.6

(2.9)

52 week high/low

A$0.3/A$0.2

Y/E Jun	Revenue (A$m)	EBITDA (A$m)	PBT (A$m)	EPS (c)	P/E (x)	P/CF (x)
2023A	2.8	(5.2)	(5.7)	(3.2)	N/A	N/A
2024A	0.8	(8.6)	(9.4)	(4.7)	N/A	N/A
2025E	N/A	N/A	N/A	N/A	N/A	N/A
2026E	N/A	N/A	N/A	N/A	N/A	N/A

Y/E Jun

Revenue (A$m)

EBITDA (A$m)

PBT (A$m)

EPS (c)

P/E (x)

P/CF (x)

2023A

2.8

(5.2)

(5.7)

(3.2)

N/A

2024A

0.8

(8.6)

(9.4)

(4.7)

N/A

2025E

N/A

2026E

N/A

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