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KLONDEX MINES LTD. T.KDX

"Klondex Mines Ltd is a gold and silver producer engaged in exploration, development, and production of its properties. The company has interests in three mineral properties: the Fire Creek Mine, and the Midas Mine and ore milling facility, both of which are located in the state of Nevada, USA, and the True North Gold Mine (formerly the Rice Lake Mine) and mill in Manitoba, Canada. The revenue of the company is generated from the sale of gold and silver."


TSX:KDX - Post by User

Comment by phil_ton Mar 22, 2017 9:56am
119 Views
Post# 26012997

RE:Stop guessing...You'll know everything Thursday Evening..

RE:Stop guessing...You'll know everything Thursday Evening..I'm going to guess anyway (because I can't help myself)... I see two negatives affecting Klondex now.  One is the delay in issuing results.  This adds uncertainty and makes investors nervous.  Usually this happens before reporting some negative development.  But in this case, if they are converting from one accounting standard to another, I can say from personal experience that is a huge undertaking and it is not at all surprising that it might take longer than anticipated.  I can't see any negative development coming out of that though.  It's purely an accounting thing.

The other negative has to do with KDX relative positioning in the gold mining space.  It is seen as less exposed to the gold price than some higher cost producers.  That's why it did not decline as much as other miners when gold fell.  The flip side of that is the high cost producers that got killed during latest downdraft in price are the current favourites as the price of gold moves up now.  I suspect that will balance out soon and this is probably a good time to add more to Klondex.
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