RE:RE:RE:RE:RE:RE:13.7 Kilometers of Drilling add at least 4 years Mine Life Beluga2020 wrote: Haha Gandork you are too funny. Gold producers like Orvana are not sitting on their gold production. Smiling Juan is not holding unsold gold until the price of gold increases to an "acceptable" price. All laughable stuff. It was simply not a spectacular quarter. Don't need to overthink it as you tend to do. Next quarter will be better. You are good with numbers but have made some crazy predictions over the years, none of which came true. The dumbest in my view is your repeated speculation that the Chairman Gordon Pridham would somehow get USA to buy or merge Orvana, all because he is a director of USA! Fact check: Mr. Pridham owns zero common shares of ORV. I will no longer feed your craziness. You are only the second person I have put on ignore on this platform. Goodbye and good riddance! I feel better already.
Beluga2020,
Well, for the past calendar quarter, the banksters have been sitting on the Price of Gold (POG), and now we have confirmation from Juan Gavidia, Orvana's CEO, that he has been sitting on Orvana's GOLD in response. So based on Orvana's NR, Orvana has been sitting on 7,686 ounces of gold, and 0.8 million pounds of copper in copper concentrates that are in inventory waiting for POG to go higher and waiting for the price of copper to go higher. Based on the fiscal Q2 MD&A, silver by product revenue was $970,000 USD, so my estimate is that there is also between 35,000 and 70,000 ounces of silver included in current inventory.
Had this inventory been sold during the quarter, Orvana would have reported $37.7 million USD in revenue, and an estimated proft of $17.9 million USD or $0.13 USD per share! Instead, Orvana chose to increase exploration drilling and sell enough gold and copper for a break even quarter. BRAVO Juan Gavidia!!! This is exactly what I would do if I were in Juan Gavidia's shoes.
IMHO, Holding gold, silver, and copper instead of fiat money is a smart strategy under the current environment.
On my second crazy speculation, I have the following update which I submit as food for thought.
In America's Gold and Silver April updated presentation, they revealed that Relief Canyon only processed 2.2 million tonnes of ore, and that they were looking at options to increase gold recovery. Translated into English, IMHO, Relief Canyon may be in trouble.
From Sandstorm which has the Relief Canyon stream, they reported a reduction of gold sales from the Relief Canyon stream from the prior quarter, so that is confirmation that Relief Canyon is experiencing problems with gold recovery from the heap leach.
So, Americas Gold and Silver has one mine in trouble, one silver mine in Mexico which is not in production, and Galena in Idaho which is a good silver mine but being upgraded thanks to a considerable investment from Sprott. Add all these factors together, and then factor in that two of Orvana's directors also sit on the Board of Americas Gold and Silver, and I don't think that it is too far fetched to imagine these fellows sitting around their boardroom table at Americas Gold and Silver with the CEO scratching his head to find a way out of the apparent continuous losses.
The big question is whether Orvana's majority shareholder would find the idea appealing?? Big question! Time will tell whether I am right on this one as I was right about ORV sitting on their gold production.
ganndolph