GREY:SOHFD - Post by User
Post by
unlimited_awon Jul 06, 2020 3:46pm
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Post# 31230362
What is keeping the stock so low?
What is keeping the stock so low?Was my first question when I looked at the PFS for Tahuehueto. NPV 137M based on 550 tpd and 1150 gold, while the current mine plan and gold price are 1000 and 1800 resp.
Additional the Campo Morato mine had $2.3M operational profit in Q1 when Covid hit and the mine had to close.
Obviously the low price relates to the current debt burden.
They managed to attract additional funding to built tahuehueto and also came to an understandign with Trafigura and Nystar with repect to the defaulted loan.
What are the odds that they will not succeed bringing Tahuehueto online before June 2021 and/or will not be able to generate $300K free cash flow at campo Morato in the next 6 months and have to hand over both projects?