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.
Major news in mining this week was the large number of announced and completed equity financing's. Eric Sprott was involved in many of these. Gold and silver had another strong week but a consolidation period can happen at any time. It isn’t uncommon see retrenchments of 15-25% [in the mining equities], which could happen tomorrow or several months down the line but it will happen. Time will tell. Gold and Silver have massive tailwinds and there are countless potential catalysts in the second…
Kirkland Lake Gold has been one of the biggest winners over the past 5yrs, propelling itself from a 160k oz. Au producer to what has emerged [along with Endeavour Mining] as the next senior gold producer [1m oz. of production or greater]. Kirkland Lake has a great asset to start, the Kirkland Lake mining complex, notably the Macassa mine, which has taken several years to optimize and will reach full strike in 2023/2024. What has really propelled its stock price in recent years was the…
Alexco Resources received its amended water permit, the last remaining hurdle before construction can commence. The company believes it will reach first production before year end and just secured financing for the build-out. The financing was initially set at C$20 but then it was expanded to $26m, which was fully subscribed to an with over-allotment option being exercised, the company raised gross proceeds of C$30m.
It will take approximately 6-months to complete the…
This silver-summer-seasonals methodology is the same as gold’s, showing how it has fared during gold’s modern bull-market years. With a far-smaller global market, silver is much-more volatile than gold. So its center-mass summer drift is wider, running +/-10% from May’s final close. That implies a summer range between $16.04 to $19.60 this year. But silver’s summer seasonals have proven weaker overall than gold’s.
Silver’s summer-doldrums seasonal low tends to arrive a couple weeks after…
