Recent Expert Analysis Andrew Kaip, BMO Capital Markets (12/12/12) "We are resuming coverage of Argonaut Gold Inc. following the completion of its acquisition of Prodigy Gold Inc. . .the acquisition of Prodigy is forecast to increase Argonaut's production by ~240% from current levels to 390 Koz gold equivalent by 2017E. . .we are maintaining an Outperform rating for the company and increasing the price target to $13 (from $11 previously) based on Argonaut's safe jurisdictional composition, track record of execution and future growth."
Rahul Paul, Canaccord Genuity (12/12/12) "We reiterate our Buy rating on Argonaut Gold Inc. following the close of the Prodigy Gold Inc. acquisition, which sets the stage for further growth beyond El Castillo, La Colorada and San Antonio. . .with a proven management team at the helm and expected strong operational momentum over the next 12 months we see strong re-rating potential. . .management has indicated the likelihood of a smaller-scale operation at Magino based on a smaller but higher-grade mineable resource. . .this may be the right decision since a smaller operation should best facilitate cost control and management of development risks."
Ovais Habib, Scotia Capital (12/10/12) "Argonaut Gold Inc. announced that the Supreme Court of British Columbia has granted the final order approving the transaction whereby the company will acquire all the outstanding shares of Prodigy Gold Inc. . .the acquisition is primarily for the Magino project in Ontario, which hosts an Indicated resource of 6.25 Moz at a grade of 0.87 g/t Au. . .the 2011 PEA outlined a 20 Ktpd operation producing 250 Koz Au/year at an average head grade of 1.15 g/t Au. . .our conservative conceptual development scenario for the Magino project at this preliminary stage is compelling."