New Murchison Gold: Production Reality vs Reddit Hype - Timeline Discrepancy Revealed

Reddit discussion on r/pennystocks highlights New Murchison Gold (NMG) as an undervalued opportunity with strong production numbers. Key Reddit claims include:

• Production
  : 7,285 oz produced in October at Crown Prince mine
• Valuation
  : ~A$40M revenue vs A$345M market cap suggesting undervaluation
• Growth potential
  : Higher-grade zones at depth including Lydia, Abbotts, and Airstrip lodes
• Resource expansion
  : Author cites extreme drill intercepts (e.g., 1.64m at 3,090 g/t Au) to argue resource extends beyond current reserves

The Reddit thread shows mixed sentiment, with initial skepticism about reserve sustainability (~19 months at current output) that softened after the author provided additional geological data and drill results. Some users indicated considering small positions at current price levels.

Official company data reveals significant discrepancies with Reddit claims:

:

• Crown Prince mine commenced production in September 2025, not 2024 as claimed
• The 7,285 ounce figure is accurate but refers to October 2025 production
• First blast at Crown Prince occurred June 30, 2025

:

• Market cap of A$345M is confirmed accurate
• October production: 7,285 ounces of recoverable gold from 60,877 dry tonnes at 3.95g/t Au grade
• Revenue estimate of A$40M appears inflated - October 2024 gold price was ~A$2,748/oz, suggesting ~A$20M actual revenue

:

• Ore processed under Ore Purchase Agreement with Westgold
• Gold trucked to Bluebird facility for processing
• Mine reached steady-state operations with production doubling in October 2025

The Reddit discussion contains both accurate and misleading information. While the production volumes and market cap figures are correct, they are misdated by one year. This timeline error significantly impacts the investment thesis, as the mine is actually in early production phase rather than having established track record.

The revenue overestimation by 100% (A$40M vs ~A$20M) further distorts the valuation picture. However, the geological potential highlighted in Reddit comments appears legitimate, with high-grade intercepts supporting expansion potential.

:

• Strong production ramp-up with October 2025 production doubling
• High-grade ore (3.95g/t Au) supporting economics
• Multiple high-grade zones identified for resource expansion
• Underground mining potential for bonanza-grade intercepts

:

• Timeline confusion suggests information quality issues
• Current reserves only support ~19 months at current production rates
• Revenue projections may be overstated
• Early-stage production operational risks
• Dependence on third-party processing facilities

While NMG shows genuine production potential, investors should discount Reddit enthusiasm due to factual inaccuracies. The company appears to be successfully ramping up operations, but valuation metrics need reassessment based on correct timelines and realistic revenue projections. The geological upside potential remains compelling but requires further drilling to convert to reserves.