RE:RE:RE: LOOKS LIKE $$$$$$$Analizer wrote
Patient My friend this is going to pop $$$$$$$. The second half of the year is shaping up as expected, with the fourth quarter anticipated to be the strongest of the year as we remain on track to meet the high end of our 2021 production guidance and expect to see all-in sustaining costs reduced further as we approach year-end. With $72.9 million in cash, no debt and unhedged Calibre is in a strong position to continue to generate significant free cash flow while self-funding growth, exploration, and mine development investment.
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Yes things are looking very good for this company. They have already announced that 2021 production exceeded guidance at 182 755 ounces. This year they are expecting aprox. 180 to 190 thousand ounces from Nicaragua and likely around 50 000 the combined company for a total of aprox. 230 to 240 thousand ounces with AISCs of aprox. $1150 per ounce. At todays gold price they should have Free cashflow of aprox. $180 million US or aprox. $ 225 million Cdn. for a company with a market cap. of under $600 million Cdn. that equals aprox. 37% return on market cap. And that is before allowing for the cash they have.
According to their presentation at the end of 2021 CXB had $101 million US in cash counting their year end cash and the cash that Fiore gold had at Sept 30 of last year as CXB now has the combined amount.
So basically we have over $100 million US in cash in the bank at the end of last year with no debt and are adding to that cash pile at the rate of aprox. $15 million US per month which means as we are now aprox 1.5 months into the new year CXB should be sitting on aprox $122.5 million US in cash. From my rough calculations in 2 year from now CXB should be sitting on aprox. $300 million US in cash after having funded from cashflow the expansions in Nicaragua and Nevada that should increase production and cashflow by aprox. 40%.
After having looked at and invested in many small gold miners over the years i cant recall one that is in a better position than CXB currently is. I have not been invested here that long but management seems to be making one good move after the next.
For those with some money and patience is appears to me that their is a very good chance to make some serious money with this stock.
As a famous investor once said
"It was not my thinking that made me the big money it was my sitting tight. Got that my sitting tight. "