Excelsior Mining Corp T.MIN

PI Coverage Initiated

[PhotonicsGuy]

Two things I don't like about it...

1. They used LOM AISC of $2.10/lb, which is ~60% higher than what MIN used in the FS. Basically, they included all the expenses of Stage 3 Capex without including the resulting copper produced under Stage 3, which is unfair IMO.

2. They used a Discount Rate of 10% instead of 7.5% for NPV calcs, which I think is too conservative. MIN is on the cusp of production with all risks accounted for (permitting/financing/construction) with the exception of some remaining execution risk.

PI Coverage Link

[rexrex]

Thanks PG, lots to read here. I am sure many are happy with this report. It puts Excelsior as a potential takeout candidate. I will read more before posting. Thanks again

[Lenny1K]

The Pi analysis reinforces a question I had raised. It refers to $58 million cash on hand, after the $32 million proceeds of the offering (in Canadian dollars). Therefore, the company had $26 million Canadian on hand prior to the offering. Why do the offering when you have these kind of funds on hand? There was no cash crisis.  Wouldn't you wait for expected good news, on the production

[CopperWave]

Agreed, I've asked IR the same question without a direct response other than the typical response of wanting to maintain safe cash buffer. Personally speaking, if I was CFO I certainly wouldn't have raised cash at these levels solely for the purpose of maintaining a cash buffer. My only hope is that the PP was raised to bring attention to Excelsior from analysts in hopes to promote this

[rexrex]

Cash raise when they didn't need cash can only mean one thing. Excelsior will be taken over and management is likely to give itself substantial cash bonuses as they exit. After all this project has taken 10 years and bonuses or golden parachutes in the millions is truly deserved. Of course takeover price has to be great as well. I think Excelsior will be taken over around the $2.50 mark, now

[metalhead666]

They had no such cash. They fully tapped a line of credit when they couldn't source acid...all of it at onerous interest rates too.  They were essentially broke prior to the PP