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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

Comment by Pepelepieuxon Dec 21, 2014 11:59am
146 Views
Post# 23253864

RE:RE:Caballo purchase is making me a Timmins shareholder

RE:RE:Caballo purchase is making me a Timmins shareholderJust like most of individual investors' purchase of mining company shares, whether the purchase of Caballo Blanco ultimately is deemed a success will depend on what the price of gold does.  Trying to predict the bottom is like trying to catch a falling knife.  If the price of gold rebounds soon and starts another bull market, the Caballo purchase will be deemed a stroke of genius, and the price paid a steal.  The opposite will be deemed true if the reverse happens.  At this point of the price of gold teetering at the edge of profitability for miners worldwide (and already below all in cost for some), it seems like it's a safe bet medium and long term that Caballo will be deemed to be a success.  Again, just a few months ago the purchase price would have been much higher.  If the price of gold continues to decline in the short run, it could have been lower, but I bet there would come a point where Goldgroup would not have sold it at all (they are not just going to give it away-they would have slept on it waiting for better gold prices), as their whole point is to develop the other mine they have, and developing mines wouldn't be a priority if the price of gold continues to declien.  So overall, I don't think they could have done much better in terms of price.
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