 Good day fellow investors. In this video I will analyze El Dorado Gold. It's a very interesting stock because it is at historical lows and here you can see the stock price that is around $2.3 now. It has been almost to 20 few years ago. Just a quick note, this is what you can expect if gold prices increase to the level they were five years, six years ago, 1800. So just a $500 increase in gold prices would make a lot of gold miners 10 baggers, some gold miners even more. If gold prices surpass 2000 then you can see 50 baggers, 100 baggers easily from gold. And that's why I want to invest deeper into El Dorado. The main issue with El Dorado is that they stopped producing and developing their Greek mines because they cannot agree with the Greek government. I think that many have in common I think today. Nevertheless they have standoff their grippo operations. However they received some key permits and detailed arbitration is about to begin. The management expects good faith negotiations and this is a very very positive stepping stone. So we could expect positive things to happen in future. Now El Dorado is not only Greece and let's make some of parts analysis to see what's the margin of safety, what's the value of the other assets and what would be the value of El Dorado with the Greek assets in operation. So El Dorado is the major player in the Tatian belt. The gold resources amount to 45 million ounces. That's huge and the costs mining costs are very very low. Here you can see the mines in Turkey and Greece are the most important mines. There are some exploration in Serbia. The mine in Serte is a project. So this is one but there is still more and we'll discuss it later. Let's immediately see what is the FM Tsukuru if I pronounce it well mine in Turkey worth. Gold production about 100 000 ounces per year. Very low cash costs if you can see it here. High grade and low sustaining capex. I have made a quick back of a napkin analysis just analyzing what's El Dorado worth here. Put in the cash flows, what's the operating cash flows, what could be the present value at a 10% discount rate for the five years remaining of mine life and I come somewhere to 282 million. The second mine in Turkey is the Kisladak mine. You can see that their waste or will be lower grades relatively stable thus the cost should be even lower in the future. Nevertheless another back of a napkin calculation of the cash flows and I come to a value of 1.2 billion for the present value of the company. However there have been some technical issues with their leaching so they will miss guidance by 25% just to be sure I have lowered the present value of the Kisladak mine by 50% so I will use 600 million just as a margin of safety. Then that we have the Serte mine in Romania. It's a project, has a very long expected mine life, 15 years, the ownership is 80%, the company is working on permitting so it's very interesting let's see the net present value. The gold production annual is expected to be around 140 000 ounces and the cash costs also very very low. The net present value of the project at the 5% discount rate I prefer 10 but okay is around 305 million. Gold prices are now a bit higher so I have rounded it up to 200 million if we increase the discount rate. Then we have the Lamaku project in Canada that came to El Dorado with the recent acquisition of Integra. They paid 377 million for their part so let's put 400 million as they already own some stocks prior to that as the value of the project. They paid much more than the net present value but nevertheless there is much much exploration potential so let's estimate that what they paid is the actual value. Then they have the Villanova mine in Brazil iron ore zero value because it's placed on care and maintenance. Tocantizinho mine also in Brazil expected mine life 10 years net present value of 245 million at the 5% discount rate so let's take 200 million at the net present value. However the rate of return is low at 13.5% percent. Let's sum it up. So the total sum is 1.6 billion divided by 800 million shares you get to two dollars per share. Two dollars per share is close to the current price so even if they lose everything in Greece which is highly unlikely as they paid two billion and invested another billion in that so there is a margin of safety from the current operations. Nevertheless let's look at what's the value of Greece. Just look at the fundamentals the current assets are one billion the long-term assets we are making part-by-part analysis the debt is 1.2 billion let's not take any value from the balance sheet or from the one billion in cash that they have on the balance sheet as that can be used to repay debt or invested. So that's two dollars per share now the price is 2.2 so practically everything that goes on in Greece you get a call option on it without expiration date for the 0.2 dollars. Let's see what do we have in Greece we have the Strothoni mine lead zinc silver and this is the problem it's close to the sea Greece is a touristic country and there are many environmental issues. The Strothoni mine let's take value zero just to make the calculation quicker. Then we have the Olympias mine which is first let me show the potential there is still 650 meters open on the downside so huge potential for increases in their reserves and resources. The five-year plan sees it was supposed to start producing in 2017 but not yet achieved due to problems in Greece however they expect on a gold equal production of 140 000 ounces cash costs very very low around 520 is the sustaining cash cost so very very profitable mine. The 10 years if you look at the cash flows gross profit of around 200 220 million per year so let's take a billion in value if everything goes well and Olympia starts producing. Skouris mine also very very long-term mine very strong cash flow so at current copper and gold prices Skouris gets for me an approximate value of 400 million for the 2 billion in cash flows. There is another mine Paramahil project economics net present value 200 million and 5% so let's add another 100 million to this. Now my point is the gold won't go anywhere what haven't happened in Greece however the politicians always change and there will be new coming so even if you have to wait one two years the call option on the Greece issue is very very cheap just a 20 cents so Eldorado is a very very interesting investment they have one billion in cash they can repay the debt if they are not going to produce in advance and they can continue being cash flow positive as they are even without Greece. The sum with Greece we already had 1.6 billion Olympia 1 billion Skouris 400 million Paramah 200 million so we are at 3.2 billion which is around four dollars per share if you pay 2.2 to get four dollars with a huge margin of safety and a conservative analysis Eldorado looks like a very very good investment now there is plenty more to research sensitivity to lower gold prices long-term security what they're doing their debt how can they be repaid and so on and so on but if you really want margin of safety gold minor and you have a long-term outlook so that you can wait out what will happen in Greece Eldorado might be the stock for you thank you for watching and i'm looking forward to your comments