![](http://investorshub.advfn.com/images/default_ih_profile2_4848.jpg?cb=0)
Tuesday, September 27, 2011 10:46:48 AM
Cananccord Update of Golden Minerals (AMEX:AUMN; TSX:AUM)
Golden Minerals Company | Nicholas Campbell, 1-604-643-7027
AUM:TSX : C$13.72 | C$428.1M | Speculative Buy , Target C$30.00
Merger with ECU complete; maintain SPECULATIVE BUY with a target price of C$30.00, down from C$36.50
Investment recommendation
We maintain our SPECULATIVE BUY recommendation with a target price of C$30.00, down from C$36.50.
Investment highlights
With the closing of the merger with ECU Silver, the development of the Velardeña project in Mexico is to be prioritized. A preliminary economic assessment (PEA) is expected to be completed in 2012 with the objective of developing a 2,000 tpd underground mining operation capable of producing 5 million ounces of silver-equivalent per year.
The drilling and drifting work at the El Quevar project has demonstrated the potential to develop the mine with bulk tonnage mining, potentially using open pit mining on the eastern and central portions of the Yaxtché deposit and bulk underground mining in the western portion of the Yaxtché deposit. A PEA on the El Quevar project is expected in 2012.
Valuation
With Velardeña in the pipeline, Golden Minerals has one of the most aggressive silver growth profiles in the junior silver space. We estimate that AUM could produce 8.5 million ounces of silver-equivalent by 2015. With two projects to finance and develop, we have increased our discount rate to 10% from 7.5% previously. We continue to value the shares of Golden Minerals based on a 0.80x multiple to our peak silver estimate of NAVPS (10%, US$45/oz Ag) of C$37.74, down from C$45.66 previously.
http://agoracom.com/ir/GoldenMinerals/forums/discussion/topics/498384-cananccord-update-of-golden-minerals/messages/1589991#message
Recent AUMN News
- Golden Minerals Announces CEO Retirement and Replacement and Board Changes • Business Wire • 06/18/2024 10:45:00 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 05/14/2024 08:05:50 PM
- CORRECTING and REPLACING Golden Minerals Reports First Quarter 2024 Financial Results • Business Wire • 05/14/2024 01:56:00 PM
- Golden Minerals Reports First Quarter 2024 Financial Results • Business Wire • 05/14/2024 10:45:00 AM
- Golden Minerals Announces Sale of Velardeña Assets and Unifin Settlement • Business Wire • 05/10/2024 10:45:00 AM
- Golden Minerals Announces Return of El Quevar Silver Project • Business Wire • 03/27/2024 10:45:00 AM
- Golden Minerals Reports Full Year 2023 Results • Business Wire • 03/19/2024 10:45:00 AM
- Golden Minerals Announces Passing of Director W. Durand Eppler • Business Wire • 03/05/2024 11:45:00 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 03/04/2024 10:18:30 PM
- Golden Minerals Stops Mining Operations at its Velardeña Properties • Business Wire • 02/29/2024 11:45:00 AM
- Form SC 13G/A - Statement of acquisition of beneficial ownership by individuals: [Amend] • Edgar (US Regulatory) • 02/14/2024 01:03:10 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 01/26/2024 07:53:16 PM
- Golden Minerals Begins Mining Operations at Velardeña Silver-Gold Properties • Business Wire • 01/23/2024 11:45:00 AM
- Form 8-K - Current report • Edgar (US Regulatory) • 12/12/2023 02:26:17 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 12/07/2023 09:02:21 PM
- Golden Minerals Completes Sale of Santa Maria Gold-Silver Property • Business Wire • 12/05/2023 11:45:00 AM
- Golden Minerals Begins Producing Gold-Bearing Pyrite Concentrate at Velardeña • Business Wire • 11/21/2023 11:45:00 AM
- Golden Minerals Reports Third Quarter 2023 Financial Results • Business Wire • 11/10/2023 11:45:00 AM
- Form SC 13G - Statement of acquisition of beneficial ownership by individuals • Edgar (US Regulatory) • 11/09/2023 09:32:04 PM
- Form 8-K - Current report • Edgar (US Regulatory) • 11/09/2023 02:12:21 PM
- Golden Minerals Announces Closing of US$4.2 Million Public Offering • Business Wire • 11/08/2023 08:14:00 PM
- Form 424B4 - Prospectus [Rule 424(b)(4)] • Edgar (US Regulatory) • 11/08/2023 11:03:01 AM
- Form EFFECT - Notice of Effectiveness • Edgar (US Regulatory) • 11/07/2023 05:15:26 AM
- Golden Minerals Announces US$4.2 Million Public Offering • Business Wire • 11/06/2023 02:15:00 PM
- Form S-1/A - General form for registration of securities under the Securities Act of 1933: [Amend] • Edgar (US Regulatory) • 10/25/2023 09:23:08 PM
FEATURED BNCM and DELEX Healthcare Group Announce Strategic Merger to Drive Expansion and Growth • Jul 2, 2024 7:19 AM
EWRC's 21 Moves Gaming Studios Moves to SONY Pictures Studios and Green Lights Development of a Third Upcoming Game • EWRC • Jul 2, 2024 8:00 AM
NUBURU Announces Upcoming TV Interview Featuring CEO Brian Knaley on Fox Business, Bloomberg TV, and Newsmax TV as Sponsored Programming • BURU • Jul 1, 2024 1:57 PM
Mass Megawatts Announces $220,500 Debt Cancellation Agreement to Improve Financing and Sales of a New Product to be Announced on July 11 • MMMW • Jun 28, 2024 7:30 AM
VAYK Exited Caribbean Investments for $320,000 Profit • VAYK • Jun 27, 2024 9:00 AM
North Bay Resources Announces Successful Flotation Cell Test at Bishop Gold Mill, Inyo County, California • NBRI • Jun 27, 2024 9:00 AM