We should havesome extra attention coming our way, with thanks to Hochschilds. JP Morgan has intiated coverage with an overweight on them. That should have others, doing research on them, led to our name. It states 33% growth by late 2007, that should mean some pretty good production coming from Moris and that other mine their starting. I was told that the mill was not run very efficiently when operated by ManHatten, yet they still got 30k ounces in their last year (was it a full year?). With the new circuit added, that number will no doubt grow. Add in the crushing of ore to the optimal size. I have heard they have been crushing ore for awhile. My opinion.
LONDON, July 6 (newratings.com) - Analysts at JP Morgan initiate coverage of Hochschild Mining Plc (ticker: HOC-GBX) with an "overweight" rating. The 12-month target price is set to 453p.
In a research note published this morning, the analysts mention that the company appears on track to generating 100% production growth by 2011, with 33.3% of growth expected to be achieved by late-2007. Hochschild Mining is one of the world’s lowest cost silver producers, with co-product cash cost of silver and gold being $3.57/oz and $153/oz, respectively, the analysts say. The company has robust net cash of $378.7 million, allocated for organic growth and funding its acquisitions, JP Morgan adds.