RE:11 milion in cash as wellOilminerdeluxe wrote:
That is some good sh*t! If they want to use cash to buy something and not dilute. Very happy. I get the feeling more is coming soon.
I have been following First Majestic over years. Neumeyer is always buying cheap "problematic" assets. He and his great team know the potential, what they could make out of it.
So many people invested in other miners were laughing about First Majestic's mines. And First Majestic shareholders were laughing about the profitability and the value Neumeyer built.
Therefore I tend to believe the cash will not be used to buy other assets. Neumeyer is about creating value from undervalued assets. How does he unlock the value? By proving the market, what only his team recognizes. Therefore I believe they will use the money to invest it in the projects they bought with the goal of maximum effect for minimum money. This may be some drilling on one project, a study for another project and negotiations with third parties at a third project. Maximum effect on unlocking value with minimal capex. My 2 ct.