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Timmins Gold Corp T.TMM

"Timmins Gold Corp is engaged in acquiring, exploring, developing and operating mineral resource properties in Mexico. It owns and operates the San Francisco open pit and Ana Paula gold project in Guerrero and the Caballo Blanco gold project in Veracruz."


TSX:TMM - Post by User

Bullboard Posts
Comment by morriconeon Aug 01, 2010 11:23am
546 Views
Post# 17313822

RE: It's

RE: It'sCRK is an interesting parallel to TMM. Both have just started up production, both looking at about 100,000 oz/year and both are likely to expand this in future years.

As mentioned though CRK has very high cost of production (which becomes less important if gold continues to rise). In addition though, CRK is in a high tax jurisdiction (Australia) and although gold producers escaped the axe on the latest new taxes (which I believe hit iron and coal) there is an election on and there's no guarantee that once it's over whoever wins won't decide that it's gold's turn to contribute more to the national coffers. That being said though I do think CRK has greater potential to increase their output at a much faster rate than TMM. And while TMM is hitting new highs, CRK is still sitting at about half it's previous high.

If TMM stabilizes at a higher level in the near term it might be worthwhile taking some profits and moving to CRK, recognizing though that it is a riskier investment for the reasons above....
Bullboard Posts