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Amerigo Resources Ltd T.ARG

Alternate Symbol(s):  ARREF

Amerigo Resources Ltd. is a Canada-based copper producer. The Company owns a 100% interest in Minera Valle Central S.A. (MVC), a producer of copper concentrates. MVC, located in Chile, has a long-term contract with the El Teniente Division (DET) of Corporacion Nacional del Cobre de Chile (Codelco) to process fresh and historic tailings from El Teniente. The Company operates in one segment, the production of copper concentrates under a tolling agreement with DET.


TSX:ARG - Post by User

Comment by Thestockguyon Sep 02, 2022 5:19pm
161 Views
Post# 34939333

RE:Wow

RE:WowThere is not a lot of interest in copper stocks nor faith in the price of copper.   Copper is often seen as a "canary in the coalmine" commodity reflecting economic growth prospects. 

China lockdowns, Europe energy fiasco, and American fed tightening are seen as major headwinds for Cu price.  

It is a shame that ARG used up so much capital buying back stock at much higher stock prices.  (This is a textbook example of why I prefer divididends as a method of shareholder reward versus share buybacks).

Medium / long term transition to the electrification of automobiles ought to increase copper demand independant of GDP growth.

At the current price of copper, the regular dividend ought to be ok.  

If the share price stops dropping, I might consider averaging down.

My 2 cents.


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