Solid Start to the Year I posted the following on another (Investor Village Precious Metals) board.
Okay folks, there's something rare on the order of finding an ablino elephant in the wild: a miner exceeding production guidance. My favorite little miner Soma just reported for the month of January record monthly production of 2,680 AuEq ounces, beating guidance by 24%. They guided last year January 2023 production would be 2,166 ounces as they wind down a lower grade deposit and begin to ramp up to feeding their mill ore from a high grade deposit (8.4 grams/ton). Just like you can't draw conclusions from a single data point, we need to see more months of continued meet or beat production results. However, starting off strong and their track record of meeting guidance for last year's production does indicate they should continue to do the same.
FYI - Earnings breakeven for Soma is a quarterly revenue of C$12.1 million. Assuming an average Gold price for January is $1900 (C$2,546), the revenue generated from January's production alone is C$6.82 million. At this rate, March 2023 production will flow directly to earnings.
