Value Microcaps Junior Miners

[Lone Clone]

West African gold producer Endeavour Mining aka EDV announced they are selling the producing Karma mine in Burkina Faso, which they describe as 'non-core', effective immediately. As a result they reduced their 2022 guidance by about 6%, but also slightly reduced their company-wide AISC estimate for this year.

https://www.siliconinvestor.com/readmsg.aspx?msgid=33753271

I should also mention that Edison has a new comprehensive report out on EDV. If you can use this link directly you'll have to sign up for a free membership, which is worth it.

https://www.edisongroup.com/wp-content/uploads/2022/03/Endeavour-Mining-Forecasts-ahead-of-St-Patricka%C2%80%C2%99s-day-results-2.pdf

Karora Resources aka KRR released their financial results for last year, featuring record revenue of $264M and cash flow of over $106M. We already knew 2021 production reached the top end of guidance, and now we hear that costs were at the bottom end of guidance. But in spite of this, the impact of increased costs meant profits were down in 2021 compared to 2020. I am sure that It is hard to predict the effects of Covid, inflation, and supply chain issues on costs for 2022, but having begun mining at the high grade Sporgos open pit already, plus bringing into production newly-discovered mineralization at Beta Hunt plus the newly upgraded mill should help, as will the recent nickel discoveries at Beta Hunt.

They are sticking to the 2022 guidance released last month, 110-135k oz AU at an AISC of $960-1050/oz plus 450-550t Ni.

https://www.siliconinvestor.com/readmsg.aspx?msgid=33756772

As part of a long and detailed article on country risk in various Latin American mining nations, the IKN newsletter had a useful warning this weekend, that a stridently anti-mining candidate is a virtual certainty to win the upcoming Colombian election. So Colombia joins Ecuador and Nicaragua on my personal Avoid list. Note that even as certain elements continue to mistakenly fuss over the new Chilean president, Chile is definitely NOT on that list.

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Alexco aka AXU released the final yearend results from their silver mines and mill in the Yukon, and it was definitely a mixed bag at best. On the positive side, the continue to prove up their mill, which is exceeding recovery expectations and at times running above nameplate capacity. As well, they now have two mines in operation with multiple mining faces operational in each. However, problems with supply chains and Covid have delayed their ramp-up to full production, which was supposed to happen this quarter, has been delayed till Q3.

These seem to me to be the usual start up problems you have with any new mining operation, particularly in the time of Covid. Although they have been losing money during the startup, they still have plenty of cash to take them through to that point, which should be mere months away, when they should begin producing free cash flow and profits, so I am staying the course with my shares.

https://www.siliconinvestor.com/readmsg.aspx?msgid=33766849

Karora Resources aka KRR has been trading like a champ of late, finally getting recognition for the growing gold and nickel production from its mines and mill in Australia. You may have noticed a bump in volume on Monday, which involved on this PR announcing that KRR has been included in the GDX Gold Miners Index. I expect to see more analyst coverage of the stock in coming months as it gains more visibility.

https://ca.finance.yahoo.com/news/karora-resources-announces-inclusion-gdx-114500545.html

We got another set of results from Kootenay Silver aka KTN's JV with Aztec Minerals on the California Zone on the Cervantes gold prospect in Sonora, Mexico. Two of the holes were located along the edges of the mineralization and intersected long intervals of low grade mineralization, while the third was in the centre of the mineralization and delivered the highlight intersect of 0.53 g't Au over 138.3Mm including 10.67M of 1.622 g/t Au. They note that these are apparent widths, and that the mineralization is dispersed into breccias and porphyry. The California Zone is now 900M long, 250-500M wide, and up to 265M deep. We'll see how much the remaining 8 holes can add to that when they release the assays next quarter.

https://www.siliconinvestor.com/readmsg.aspx?msgid=33768453

My notes say that Wallbridge Mining aka WM and their JV partner Midland were going to begin drilling on the Casault gold project last August, but today we finally got the announcement of the start of drilling to follow up on the gold discovery the JV made on the property last year. Casault is loctaed on the Detour trend in Quebec, adjoining WM's Martinere project, which itself adjoins WM's flagship Fenelon property. Reflecting Casault's secondary status, the drill programme encompasses only three holes, two in the vicinity of the discovery hole and the third, which will test a magnetic high on the same structure, a kilometre away.

https://www.siliconinvestor.com/readmsg.aspx?msgid=33768580

The IKN newsletter brings us news that Doug Ramshaw, the President of Minera Alamos aka MAI, bought another 100k shares of his company on the open market last week, bringing his total holdings to 6.5M shares. That's quite the show of confidence. He, I, and IKN are all sure that MAI will finally get its due this year as they declare commerciality at their Santana gold mine in Mexico and then announce which of their two other mines-to-be will be built first.