RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:RE:Hedging -= shot themselves in the footBeluga2020,
In this investing game, you have to occasionally think out of the box! And consider what are the possibilities?
When Gordon Pridham became Chairman of the Board at Orvana, for me this was a signal that there might be a future acquisition of Orvana by USAS given that Gordon also sits on Americas Gold and Silver Board. Given the relative share counts, USAS could offer .25 USAS share for every share of Orvana which would price Orvana at 76.5 cents per share in USD on a potential acquisition.
Why would Darren Blasutti go after Orvana? Let's consider Blasutti's situation.
His Relief Canyon mine has not yet hit commercial production in spite of having started in January 2020.
And that low grade heap leach mine constitutes 100 percent of Americas
Gold and Silver gold production. The Cosala mine in Mexico is out on strike and is not producing, and the Galena mine in Idaho is in a recapitalization project to catch up on underground mining development.
Meanwhile, in Spain Orovalle has produced almost 12,000 ounces of gold in Q2 2020. So if Blasutti can pull off a successful acquisition of Orvana, he can put himself on the map as a gold producer, and can paper over his problems with Cosala and Galena and derisk his stock for current USAS shareholders.
In the past 7 years Orvana has always reported FQ3 results before August 10, and the fact that they haven't reported FQ3 2020 results tells me that something is up! Bigtime!!!
You asked for a catalyst to push Orvana above 30 cents? There you have it! Now what? Do you dump your ORV shares at the current absurd undervaluation or do you buy more? That is the question.
ganndolph