Just to Clarify...Amerigo is a proper copper company; they have over 20 years of bankable, shovel-ready, run-of-mine material at grades of between 0.1% & 0.3% Cu/tonne. Why the low grades? Well, it's already been processed once in the last century (evidently at significantly lower efficiencies than current technology permits), although that also means that their feedstock is already conveniently pre-processed. What I find really funny, is that many of the 'real' copper companies (i.e. those that mine, and perhaps those to which Newbie refers) have to dig it out of the ground, at added expense, for a similarly measly grade. Most of them don't even have a 43-101 yet, let alone actually generate any revenues, and most certainly haven't been selling their product consistently for the period that ARG's been in operation.
All that aside, you can't argue with ARG's commercial metrics, anywhere around $2/lb AISC is below industry average, and provides investors with healthy prospective profits at current Cu, as well as great leverage to Cu price upside.
I must also commend management's demonstrable commitment to returning profits to shareholders via dividends - something I hope to see again this cycle.
Labour disputes sorted for the medium term.
Expansion to 90m lbs per annum is a GO, and won't require any serious additional financing.
What's not to like apart the apparent lack of volume?
(lack of sellers + sound fundamentals = imminent gap up)
Newbie - hope this helps.
E17