Value Microcaps Junior Miners

[Lone Clone]

MAI, IPT, OGC, EDV

In the wake of their recent announcement of the purchase of a Mexican copper prospect and the formation of a copper hub in southern Sonora, Minera Alamos aka MAI decided they had better put out a review of their existing copper assets, which had been largely absent from their PRs for years as MAI concentrated on developing their nearby gold assets.

The bulk of the review consists of a summary of the PEA carried out in 2012 on the Los Verdes Cu/Mo/W deposit when the company was still called Virgin Metals. The PEA generated robust economic numbers, like an IRR of 34% and payback period of less than 3 years. Examining the sensitivity analysis reveals that using today's prices the numbers would become very robust. The PEA also notes that including MAI's other nearby Cu/Mo deposit, Potreritos, would likely improve the numbers further.

Although the metal prices used in the PEA were of course lower than today's prices, apparently MAI does not plan to carry out a new PEA at this time. I expect the announcement of new economic studies, including upgrading the various Resource Reports to current standards, will come after they have familiarized themselves with the new acquisition, Suaqui Verde, and that all three deposits will be involved.

https://www.siliconinvestor.com/readmsg.aspx?msgid=34656259

In the wake of the ill-advised, management-serving PP last week that cratered the share price, I guess the folks at Impact Silver aka IPT figured they better get some good news out ASAP, hence we got a PR this morning announcing a new discovery at Guadeloupe, one of the producing mines on IPT's Royal Mines of Zacualpan properties in Mexico.

Underground drilling from Guadeloupe, which has been in production on and off for over 500 years, has found a new vein system dubbed Kena Vein South, with the headline intersection being 213 g/t Ag over 17.30m Including 1,400 g/t Ag over 0.75m, with some gold values measuring over 1 g/t Au over short intervals. Several other holes in the area also encountered prospective mienralization, and drilling is ongoing to extend the discovery. I expect that once exploration is complete we will hear about plans to bring it into production.

I did take advantage of the PP-induced swoon in the share price to add some cheapies to my core holding. If I do manage to sell these new shares for a buck, which is possible if the prices of silver and zinc cooperate and there are no more share price crushing PPs, I will be left riding free shares.

If successful, this will be my third time buying cheap and selling dear. IPT is good for that.

https://www.siliconinvestor.com/readmsg.aspx?msgid=34658895

FWIW, in the wake of this week's release by Oceanagold aka OGC of their Q1 results, BMO issued a new analyst report. Though they noted that production and earnings were lower tan expected and costs higher, BMO was pleased that OGC reiterated 2024 guidance and expect them to make up the deficit through the rest of the year. They maintained OGC at Outperform with a target of $3.75.

FWIW, BMO also issued a new analyst report on Endeavour Mining aka EDV after they released their Q1 results. Like OGC, EDV missed on costs and production, but are expected to make up the deficit through the rest of the year, particularly with two new mines coming on line. BMO maintained EDV at Outperform with a target of $36.