Value Microcaps Junior Miners

[dr_airtime]

USA.TO/USAPF - also zinc...

...50 million pounds. If you've been following my posts on zinc your conclusion should be "the bull is on". Zinc +.06 today to $1.17/lb. My most overweight position Trevali right now is also at 1.17 share price! See the 5 year chart here:

http://www.kitcometals.com/charts/zinc_historical.html

Zinc took it's third tap at the $1.10/lb ceiling and blasted through. If zinc is at $1.30 next year when San Rafael comes online then AISC is going to be even more negative.

The San Rafael Feasibility study assumed $.85/lb zinc. If Zinc is $1.30 next year that is +$0.45/lb x 50 million lbs = $22.5M in annual revenue higher than expected. The average revenue in the feasibility for years 1-5 is $45M so the zinc pricing upside has the potential to increase revenues by 50%/year from the pre-feas. Dependent on zinc price of course.

Also - page 154 below shows annual zinc production of about 40M pounds so not sure where USA is getting 50M from. Maybe a pump as they know the zinc bull is on.

Page 153 - pricing
Page 154 - revenue calculation

http://www.americassilvercorp.com/i/pdf/reports/SanRafaelReport.pdf

FYI - pretty