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Cerrado Gold Inc V.CERT

Alternate Symbol(s):  CRDOF

Cerrado Gold Inc. is a Canada-based gold production, development, and exploration company focused on projects in the Americas. The Company is the 100% owner of both the producing Minera Don Nicolas and Las Calandrias mine in Santa Cruz province, Argentina and is the 100% owner of the Mont Sorcier Iron Ore Project in Quebec, Canada. In Canada, it holds a 100% interest in the Mont Sorcier Iron Ore and Vanadium project, which has the potential to produce a premium iron ore concentrate. The Minera Don Nicholas (MDN) property is located in the mineral rich Deseado Massif in the province of Santa Cruz, totaling 333,340 ha's of concessions. MDN is producing operating mining from two separate open pit areas, La Paloma and Martinetas. The Mont Sorcier Iron ore property is located just 18 km outside of Chibougamau, Quebec. The Property hosts a large Iron resource with significant and extractable Vanadium.


TSXV:CERT - Post by User

Post by ABDPhilon Jun 20, 2021 2:48pm
266 Views
Post# 33418167

It’s time to go

It’s time to goHello Tree2tree,

I see that you still have the nasty flaw in liking financially fragile gold companies.

The financial results indicate production costs so high that it would take a miracle to hope for a recovery. The gold grades are interesting but they are nevertheless insufficient to compensate for the complexity of the geological structure. The depth of the mineralized zones is too great to imagine a substantial drop in production costs.

The only way to achieve an acceptable breakeven point would require the gold price to soar on international markets. If this scenario were to occur, the entire gold company market would benefit and despite achieving profitability, CERT's production costs will continue to hurt shareholders.

Finally, the negative financial results mean that CERT will have to finance its drilling campaigns again and again by issuing shares, which should largely contribute to the progressive impoverishment of current shareholders.

Flee while there is still time.
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