GREY:SOHFD - Post by User
Comment by
Spikearoo1on Jan 12, 2018 8:38pm
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Post# 27347130
RE:RE:Profitability
RE:RE:ProfitabilityYo Shakeypremis...good to hear from someone else on this cricket board. IMO this is one of the most undervalued plays in the resource sector. No one is noticing it. I've tried to spread the word but no one cares.
Based on what i have read and understand from mgmt, the profit for this is huge because the recovery rates are in the high 80's % and you are only talking 1400 TPD. When they get up to full capacity of 2500, it looks even better. Glen in investor relations was explaining to me that their ROR on operations are in the low 30% range.
Further, just the actions of mgmt in terms of how they acquired CM at a 90% discount vs. what Nystar paid and how fast that they got it up and running and without diluting existing shareholdres is a great testament to being on the side of shareholders. Further, for their T project, they have purchased 80% of their equipment at a deep discount that was used, yes, but in the process of being refurbished and organized into a proper mine set up.
I love the fact that they are taking the time to set up agreements to pre sell their resources in exchange for funds to further their operation all without diluting existing shareholders.
I've been buying TSN in the low 0.30's and still acquire on days when the asks drop below 0.70 cents. Almost at 100,000 shares and will stop at that point, which is a good position to benefit from the future growth of TSN.
Let me know what your additional thoughts are as it's greatly appreciated.
Also check out SVB (silver bull) which is hitting some very high grades of zinc, silver, lead and starting to hit copper now too. Hopefully gold as well.
Both of these stocks will likely be sitting in the 5 dollar range in a couple years.
Cheers...