Dividend?/Timeline For Production/Profitability When did HInse suggest a 15% percent dividend would be paid in 2020? This sounds like a fiction to me. If you want a 15% dividend, one might want to consider an oil and gas company purchase. (but with the risk of a dividend cut and consequent capital loss)
The company timeline for active production from the Sleeping Giant mine and the Abcourt-Barvue mine is not until 2022 at the earliest.
Providing that financing can be arranged, development of the Sleeping Giant mine is not scheduled to begin until next year 2020. This will take a couple of years. They need $5 million to accomplish this.
Development at Abcourt-Barvue would not commence until 2021. Production a year later in 2022. This is scheduled if they can come up with the $40 million.
But these are the best case scenarios. Abcourt Mines has not finished with the present financing for the $2 million Elder drilling compaign. There is no point in putting any cart before the horse!
With all the shares that the Hinse family owns, I am sure that they would like to cut themselves a cheque for a 15% dividend. And all shareholders with large holdings would be substantial beneficiaries. But that is impossible at the present time! But that dream might motivate some shareholders from selling too early. Whatever works!
Abcourt Mines is not currently in state of substanial profitability. In the financial report, the company is doing slightly better than the equivalent time frame from one year ago. Cash flow increased marginally. Although the price of gold sold increased substantially, so did the company's all-in sustaining cash costs. So the net effect of any apparent gains from the increases in the price of gold sold was negated by the AISC by an equal amount. The company managed to increase the tonnage of treated ore in the milling process from the same time frame as last year but the grade of gold diminished. Cash on hand increased marginally. But the total is a significant amount. That is good!
Abcourt Mines is breaking even financially. Other companies do much worse. But the present profitability picture alone is not sufficient to drive the share price much higher.
With the present company focus on the Elder mine production, management needs to raise the grade of the ore that they are presently mining. They also need to increase the tonnage milled. The company objective is to produce 12,500 tons/month of gold mineralization. Last quarter, they only treated 9,843.6 tons per month at the mill. They accomplished their goal once last Summer. They need to do that again.
Some pertinent questions need to be asked by shareholders at the next December AGM. Hopefully anyone able to attend will do so and share that information on this forum for future discussion.
All the best! Java