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Amerigo Resources Ltd T.ARG

Alternate Symbol(s):  ARREF

Amerigo Resources Ltd. is a Canada-based copper producer. The Company owns a 100% interest in Minera Valle Central S.A. (MVC), a producer of copper concentrates. MVC, located in Chile, has a long-term contract with the El Teniente Division (DET) of Corporacion Nacional del Cobre de Chile (Codelco) to process fresh and historic tailings from El Teniente. The Company operates in one segment, the production of copper concentrates under a tolling agreement with DET.


TSX:ARG - Post by User

Comment by Taran83on Feb 21, 2021 8:58am
109 Views
Post# 32620942

RE:Options Expiry March 1/2021

RE:Options Expiry March 1/2021
Just a thought: The lack of share price appreciation last friday in conjunction with high volume may be also linked to insider selling. Insiders cannot sell shares when news are pending. After releasing Q4 results, they may have taken the opportunity to free up some cash to exercise their options that are soon to expire.

With regards to the CC: I do not prefer the company going private. I would rather like the company to increase shareholder value by reinstating the dividend and maybe prior to that, initiate a share buyback. I am sure that will help. In this context, the low share float (70-80% of the shares are held in strong hands) may be bad for volatility and eventually day trading. But I think it is very positive for the alignment of the companies' and (long term) shareholders' interests. It just might not be a company for every one. But remember, the company was in serious trouble more than once in recent years. And problems have been resolved without share dilution. Instead, large shareholders / and also Codelco stood up and helped out. Compare this to NCU

BTW: I would also like to know the reasons why it appears to be impossible to reach previous "expansion phase 2" recoveries (Q4/2018) despite having sufficient water available and having resolved the tailings issue.
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