|I-80 Gold aka IAU reported its Q3 results today. Due to recent series of transactions most of the numbers in the PR don't mean a lot, e.g. their share of the gold production from the South Arturo JV was 3254 oz , but they have since sold that interest. Likewise, they finished Q3 with a cash stash of almost $52M, but with the subsequent transactions and the associated financings that number has little reflection on their current position, which we won't know until all the details are settled.|
Right now the IAU story is all about the future; how quickly they can start underground production from Granite Creek, and then how quickly they can refurbish the Lon Tree Mill and bring the Granite Creek open pits into production, followed by their other Nevada gold projects. In other words, how quickly can they become a cash flow machine? I am estimating two years before start up expenses diminish and cash flow generation really kicks in.
Yukon silver miner Alexco Resources aka AXU is a little further along in its transition to becoming a producer at their Keno Hill complex, as we can see in its Q3 results. They earlier restarted production of remnant ore from the Bellekeno mine, which was exhausted last month, while starting to mine ore from the the Bermingham mine. As the metallurgy is different, they decided to finish processing Bellekeno ore before starting to feed Bermingham ore through their mill, meaning production was down slightly in Q3. Mill throughout was about about 40% of the eventual goal of 400 tpd. Getting to that goal will become easier once they also start mining at Flame & Moth this quarter. Meanwhile, they completed an exploration drill programme at Bermingham Deeps, which they expect to become their next source of ore, with the rest of the result expected in Q4.
I expect AXU to really start to shine in 2022 as the inevitable teething problems are worked out.
Wallbrisge Mining aka WM just can't seem to get any respect, selling off today on the release of the initial Resource Report for their Martiniere and Fenelon Au properties in Quebec. For reasons unknown to me, it seems an Indicated resource of 43.56Mt @ 1.91 g/t containing 2.67M oz Au and an Inferred resource of 31.78Mt @ 1.69 g/t containing 1.72M oz Au just doesn't measure up. Again, I am not sure why. The metallurgy is straightforward, and the mine plan,s, a combination of open pit and underground, seem like they will work (albeit that is just a guess until we see a PEA/PFBS).
The deposits remains open in most directions, and there are other prospects in the area that need to be explored, which is why WM says they intend to do more drilling before they embark on the economic studies. Perhaps that 'delay' bothers those holding for the inevitable takeover by one of the larger miners working in the area.
Nomad Royalties aka NSR announced they have instituted a dividend reinvestment plan, which allows shareholders to be paid their dividends in shares rather than cash without paying any fees to do so. The way these are set up, you can accumulate fractional shares, but that may be problematic if your shares are held by a brokerage. I intend to follow up with mine to make sure I can participate, and if you are an NSR shareholder through a brokerage you should definitely follow up with them
FWIW, TD released a new report on Sandstorm Gold Royalties aka SSL that sees their new dividend as slightly positive, albeit they are keeping them at Buy with a target of $12.50.