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Golconda Gold Ltd V.GG

Alternate Symbol(s):  GGGOF

Golconda Gold Ltd. is a Canada-based un-hedged gold producer and explorer with mining operations and exploration tenements in South Africa and New Mexico. The Company operates through its wholly owned subsidiary, Galane Gold Mines Ltd., two assets: a producing gold mine which also has the rights to certain mineral exploration tenements (the mine and mineral exploration tenements collectively, the Galaxy Property) located in the Republic of South Africa (South Africa) through subsidiaries located in South Africa, and a gold and silver mine and processing infrastructure located in the United States of America (the Summit Property) that is in care and maintenance. The Galaxy gold is situated approximately eight kilometers (km) west of the town of Barberton and 45 km west of the provincial capital of Nelspruit in the Mpumalanga Province of South Africa. The property covers approximately 58.6 square kilometers (km2) is part of the prolific Barberton Greenstone Belt.


TSXV:GG - Post by User

Comment by Tree2treeon May 01, 2022 8:07pm
221 Views
Post# 34646448

RE:RE:RE:RE:RE:RE:Massive cash bleed

RE:RE:RE:RE:RE:RE:Massive cash bleed
"Both Galaxy and Summit look like nice little projects, a lot more promising than Mupane."

Galaxy - a few highlights:

2015: Acquisition of Galaxy announced, and completed.
2016: Commenced commissioning of Galaxy (planned to take 6 months)
2017: Still commissioning... (Maybe management was distracted by another acquisition which didn't go through.)
2018: Raised $5 million to refurbish facilities and restart mining (so what were they doing since 2015?)
2019: Galaxy starts mining and producing concentrate.
(Skipping a couple of  years here.. I'm bored with reading the old news releases.)
2022: Galaxy still bleeding cash in the millions and nowhere near profitability.  Unless you believe management's stories and promises of course.  Mupane gone so no chance of any income from there.  Where will the money come from to keep the company alive?

"Nice little project" - to support management and director benefits while they pretend to be in the mining (for profit) business.

Remember, Galaxy was a previously producing mine that didn't need much work to get it going again, and spinning cash...

Credibility?  Confidence?


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