RE:RE:RE:Production numbers out!Lucentio wrote
The numbers suggest a quarterly divd of 3c a share
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At todays copper prices ARG should be cashflowing aprox. $ 70 million Cdn. per year in Free cashflow.
If ARG can repurchase 21 million shares as they are trying to do now that would leave aprox. 160 million shares outstanding. That would equal Free cashflow per share of aprox. 43 cents Cdn. per year or around 30% plus at the current shareprice.
If they wanted to ARG could easily pay a 24 cent Cdn. per share yearly dividend and still keep aprox. $32 million Cdn. in cash yearly for the company. If they were to start paying the 24 cent annual dividend right now and used the rest of the leftover cash to reduce debt ARG could keep their current $53 million US cash pile pay the 24 cent annual dividend and pay off the $35 million US loan in aprox. 16 months from now.
Everything depends on how conservative they want to be or if they have other plans for their money such as expansion or buying developing another project. Either way this company is in very good shape with a lot more cash than debt and more cash piling up every month.
Shareholders will eventually benefit from this situation one way or another.