Gold and silver prices surged again this week, although both metals were hit on Friday. The disconnect between the valuation of mining equities relative to the underlying commodity price has been expanding. We are overdue for correction and/or a period of consolidation but it remains to be seen when that will be. It certainly feels like it has begun or is just around the corner. Q2 earnings announcements have started to accelerate with most companies impacted from the CV19 protocols and…
This week saw higher metal prices with the mining stocks performing well. Silver had an incredible week, being up >$1/oz. for two consecutive days. Silver reached on all-time high and had its best week in a long time. Like two weeks ago, there were countless financings for junior stocks again this week, which are listed below. Earnings should start to be reported in two weeks or so. Some companies will report great numbers and others not so much, all depending on the impact of mining…
Ticker- TSX; EDV.TO, OTC; EDVMF
52-Week Range; CAD $15.68-$36.62, US $11.02-$27.60
Shares Out; 163.077m shares
Endeavour Mining is a West African focused gold producer. Following a recent acquisition, it is now the leading West African producer with an excellent stable of assets and run by a very capable management team. The company recently completed a strategic acquisition [SEMAFO], in which it paid a fair price. Endeavour’s business model is based around M&A or buy-and…
There are many more drill rigs turning for silver exploration and development companies than there have been over recent years. In turn, we have seen some impressive drill results thus far in 2020. This week both Blackrock $BRC.V and Kootenay Silver $KTN.V put out some promising exploration results.
Blackrock drilled 3m of 2,198 g/t AgEq (1,046 g/t Ag + 5.29 g/t Au) and 3.04m of 464 g/t AgEq (221 g/t Ag + 2.44 g/t Au) in a new vein and extends the Victor vein down…
With government imposing mandatory suspensions of non-essential business in some places around the world, the majority of the mining sector continues to operate uninterrupted with the exception of adhering to CV19 protocols. Meanwhile, the gold price continues to hold strong at or above $1,800/oz. and has been very buoyant after sell-offs. Additionally, silver seems to be confirming the breakout and the time is nearing where silver will outperform gold, as we've seen the start with a…
Ownership of the company is strong with Altius Minerals, SSR Mining, and Eric Sprott (On July 9th, invested $3m) owning 35% of the outstanding shares and insiders owning 3%. The company does have a relatively sloppy share structure but this isn’t uncommon for juniors given the duration and severity of the last bear market. The company currently has issued 318m shares but 509m shares on a fully diluted basis.
While Fortuna was hit quite hard due to the CV19 mandated shutdowns in Mexico [Its flagship San Jose mine was suspended for 54 days of the quarter], the company managed to produce a total of 1.274m oz. Ag and 7.1k oz. Au vs. 2.157m oz. Ag and 13.2k oz. Au in the comparable period in 2019. Further, lower grades at San Jose put more downward pressure on output; silver and gold grades of 220 g/t Ag and 1.42 g/t Au vs. 273 g/t Ag and 1.68 g/t Au in Q2 2019 at San Jose.
Caylloma operated…
Endeavour Silver $EXK, has had its issues over recent years but it appears to be nearing an inflection point whereby the overall quality of its asset portfolio increases, output increases and costs decrease as operational issues have been worked out and it has an excellent development project in its pipeline. On Monday, the company released an updated Pre-Feasibility Study (PFS), which is more robust relative to the 2018 PFS.
