Core Gold DMMIF

RE:Dynasty Reports 4,133 Ounces of Gold Produced in Q4 2015

[edx]

Christmas holidays were destined to make Q4 slow. It is what it is. But they've reached the Tamayo vein which has ~225,000 ozs are measured (10.43 g/t), indicated (25.66 g/t) and inferred (17.38 g/t). Even if the inferred grade comes down significantly that's still plenty. It'll probably be a little bit until they can start to exploit it, but I'd guess Abundancia is the next vein they're going to try to reach. I'll try to get confirmation.

Soroche and Matalanga (which probably comprise the 6 resource grade faces they are exploiting right now) have plenty of life in them. Basically if gold holds around here and they can pull in 400 tpd resource grade they ought to be able to meet all financial obligations. Right now it looks like they're producing just under 200tpd resource grade from their 6 resource grade faces in 2 veins, so they really need to get Tamayo online before loan payments come due.

If they reached Tamayo in 2015 Q3, it means they've had more than a quarter to continue advancing the decline/inclines to start exploiting the vein. I don't really know how long it'll take them to bein a position to exploit, but it gives me some comfort that they've been at it for over a quarter so far. If they can hit the higher grade parts of Tamayo, they don't even need 400 TPD resource grade to meet all their financial obligations.

It's still going to be tight, but looks very doable to me. You're probably looking at dead money for H1 2016 (unless the global economy tanks and gold rockets up), but once they demonstrate they can cover their loans that should remove the extremely depressed valuation here (just over $5 million USD valuation... really? lol.).